I have an SBA commercial loan on the building where i had my business.
Now Wells Fargo says i dont have access to the proceeds from the sale. I need that money to put back in a retirement account or will be penalized. I have started refinancing proceeds through another lender. Did not realize this when loan was taken out. Had to close business in 1/31/17. Not sure what my question is, cannot find verbage that says we are in default. Building is totally rented iut and has cash flow. Is it legal for them to hold my money?
It sounds like we need more information about the documentation and your situation to know for sure what’s happening here, and what options you have. It sounds like you’re saying you sold the business but not the property you had a loan on? Is the SBA loan through Wells Fargo, who is withholding the proceeds from the sale of the business? My assumption there would be that they took the proceeds to pay for the SBA loan, but it didn’t fully repay what was owed on the SBA loan? Under that scenario, then there aren’t any sale proceeds to get. However, if your situation is different then we’ll need more information.
Regardless, it looks like you may need to discuss this with an attorney who is familiar with the laws in your state, and who can take a look at all of the loan and sale documents.