Is your Kabbage loan in default?
Loans intended to give businesses quick access to cash that’s deposited straight to their bank accounts, like those available from Kabbage, can lead to struggles with business debt or even loan default. The team of debt professionals at Tayne Law Group, P.C. can work with you and Kabbage. In fact, we can find a solution to what feels like a never-ending payment draining your business’s finances, resolve the outstanding loan, and be done with the debt once and for all. Through our proven debt relief strategies, we can help resolve your business debt and avoid bankruptcy and get out of the vicious debt cycle.
On August 17, 2020, American Express announced that it was acquiring Kabbage and all its properties. While American Express brings more credibility to the business, it’s still important for small business owners to be wary of the offerings through this service. On its own, Kabbage claims to offer loans of up to $200,000 to small businesses, with a quick application process and a decision within minutes. However, short repayment periods can lead to difficulty repaying these small business loans and can eventually lead to loan default and bad debt. Now is the time to call The Tayne Law Group for a no-obligation and free consultation on how we can help you with your business debt.
Kabbage often boasts that it can offer alternatives to merchant cash advances (MCAs). However, the funding Kabbage helps businesses find can also be harmful, drain your business of much-needed cash, and lead to loan default. Instead, business owners may consider short-term loans or small business lines of credit. Both are more affordable than merchant cash advances and are less likely to trap businesses in a debt cycle.
Tayne Law Group has more than two decades of experience resolving business debt and has proven success with Kabbage. For example, TLG has settled a Kabbage loan of over $16,000 for $7,000 interest-free on behalf of a client. We’ve also settled a loan of $18,000 for half of the balance. We saved the client time and money to get their business back on track. In our experience, National Check Resolution and TBF Financial often represent Kabbage. You have nothing to lose and everything to gain by making the call to the Tayne Law Group. The call is always free!
FAQs about Kabbage
Kabbage is a technology-based company that offers business funding to small businesses that are struggling with cash flow. You think you need quick cash for your business so you found them online while searching.
Kabbage claims to offer an application decision within minutes, as well as immediate access to funds. Through the use of technology, the company uses digital information about a business, such as business performance and credit score, to determine eligibility for a loan. The company offers lines of credit up to $250,000 in all 50 states. Loans can be used for any working capital needs, including inventory, renovations, payroll, etc.
Kabbage offers lines of credit, including 6-, 12- or 18-month installment loans. A business will have one line of credit but may withdraw several loans from the line of credit. Each loan has its own loan agreement and loan repayment terms. Additionally, borrowers pay fees on the loan amount, not the line of credit. Loans are also unsecured. However, the creditor requires a personal guarantee. The business repays an equal monthly payment. The length of the loan term and the lender’s business performance determine interest rates. Additionally, the creditor may even require you to sign a confession of judgment. The kind of debt cycle that can result from loans with Kabbage can often lead to default.
Some lenders file UCC liens in certain cases. Contact us for further assistance.
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