S
screech
Guest
I am a minority shareholder on a commercial mortgage that is probably going to be defaulted on.
The thing is I can probably afford to discharge my share of the obligation but am fearful about the joint and several liability clause and whether the bank would persue me for the entire amount, which would more than wipe me out.
So far the bank have been speaking exlusively to the majority shareholder and I have not been included in discussions, being small fry.
I am not sure how to proceed with the bank vis a vis offering to discharge my share as I do not want this situation to affect my credit rating going forward. Currently neither the bank nor the majority shareholders realise I can pay my share off. But I feel I am in a total catch 22.
How aggressive are the banks likely to be in this scenario.
It would be better for me to default on this loan that to be pursued for the entire amount?
The thing is I can probably afford to discharge my share of the obligation but am fearful about the joint and several liability clause and whether the bank would persue me for the entire amount, which would more than wipe me out.
So far the bank have been speaking exlusively to the majority shareholder and I have not been included in discussions, being small fry.
I am not sure how to proceed with the bank vis a vis offering to discharge my share as I do not want this situation to affect my credit rating going forward. Currently neither the bank nor the majority shareholders realise I can pay my share off. But I feel I am in a total catch 22.
How aggressive are the banks likely to be in this scenario.
It would be better for me to default on this loan that to be pursued for the entire amount?