Our company is applying for loans from Alternative lenders, does this seem right?

After speaking with many lenders. We have found one lender who is will to help us. The guy we are dealing with is a broker. He said the following is the criteria if we get approved.

  1. Once you are approved and contracts are signed, the 10% deposit must be transferred to the lenders bank escrow account.
  2. The approval process is relatively quick, and the funding takes approximately 50 business days (or 10 weeks).
  3. The lender's fee of 7% is taken at the time of funding. My fee is billed directly to you only after you receive the funding.

Has anyone heard of es-crowing funds like this? We apply for a $1 million loan. We get approved and then we send them $100k

Advertisements

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s