October 1, 1986, Portland Observer, Page 7 SBA and IRS Cooperate on Loan Collections SBA 1« participating in a pitot program with The Internal Revenue Service to collect selected severty delinquent loans by offsetting tax refunds This is part of the increased emphasis on collection of government loans as out­ lined in the Debt Collection Act of 1982 and the Deficit Reduction Act of 1984 Although the initial program will include only Disaster Home Loans, it is expected to be expanded to other SBA programs in the near future Under the plan, SBA will notify borrowers of its proposed action and allow sufficient time for the borrower to correct delinquency or negotiate an acceptable repayment plan. If the borrower fails to cooperate, the account will be referred to the IRS and any tax refunds due will be offset and the funds applied to the loan The Agency may also consider other actions, such as referral of the case to a private collection agency or reporting the delinquency to credit bureaus Other agencies are also participating to collect Guaranteed Student Loans and Veteran Administration Loans The initial 60 days of this program resulted in »1,600,000 repayments nationally with substantial additional collections expected. Generally accumulated interest in excess of 180 days will not be paid by SBA If the loan carries a variable rate of interest, it will be converted to a fixed rate loan effective on the date the loan went into default even if loan servicing is retained by the lender It is important that SBA be advised of the date the loan went into default and the rate of interest in effect on that date. These items often prevent SBA from making timely approval and transfer of buy back funds: Inadequate documentation for title and lien position in real estate collateral to insure compliance with the SBA Loan Authorization A Color Pictures For Your Garden Cleaning Efficient, Dependable References All areas 249 7960 for reloading letters trom home' Send sell addressed, stamped envelope for information/ application Associates. Box 95-B. Roselle. NJ 07203 mortgagee's policy or tract book search will usually fullfill this require ment. Inadequate and or timely lien filings. An original UCC 1 and a current UCC lien search should be provided in every case I Lack of morgage clause and/or lenders toss payable clause on hazard insurance protecting pledged real and or personal property NOW Loan Activity Fiscal Year 1986 The Chicago District Office and its Springfield Branch approved 782 loans totaling »131.5 million during the fiscal year ending September 30, ^985 These included 74 direct loans totaling $6 7 million. Also included in these figures were 27 Certified Development Company Debentures totaling »5 8 million. W hen th « w h ite tapes on V e n e tia n b lin d * b e co m e soiled, b rig h te n by rubbing on w h ite liquid shoe polish a 2 YEAR SUBSCRIPTION Value $74 88 — Save $52.00 with this coupon You Pay Cost of Postage Only. $22 88 I I I I I THE N A T IO N A LIS T VIEW Of Quality Lending Purchase o f SBA's Guaranty If a borrower is 60 days or more delinquent in making payments on an SBA guaranteed loan, the lender can request SBA to honor its guaranty This is commonly referred to as a "buy back" request Upon receipt of a buy back request, the SBA will provide the lender with written confir­ mation and instructions Upon receipt and verification of the necessary documentation, the amount of the principal and interest guaranteed by SBA will be sent to the lender by wire transfer The following items often cause problems in computing the amount of the buy back: All payments made by the borrower must first be applied to accrued interest, with the balance applied to the principal JANITORIAL $60 00 PER HUNDRED PAID New National Weekly Newsletter Starting October 1986 FePPie- ‘ .f_0_rJhe ?eople_- By_the_ People Enclosed is my check, M 0 For $22 88 as full payment Please Dill me with lust ssue I have 30 days lo pay (check one) SBA continues to receive loan guaranty applications on behalf of busi nesses that have little or no likelihood of generating the cash flow sufficient to service the debt and other obligations Such loans do not meet SBA's quality lending criteria and cannot be approved While SBA does have upper end requirements for use of personal resources and credit else where test, this Agency is not a lender of last resort for credits that do not show reasonable assurance' of repayment The determination of reasonable assurance" is the product of a thorough, professional credit analysis resulting in a judgement that the business will be able to repay the loan in an orderly manner Many potential and existing bank customers can meet SBA standards, yet due to the need for extended maturities, an insufficient track record, and inadequate collateral, they may not meet the bank s standards Such credits are ideal candidates for an SBA guaranty If, however, the applicant does not meet the bank s credit standards due to an unsatisfactory profit history, unsup ported protections, or because of other significant adverse factors, it will not meet SBA’s quality lending criteria either TNV News Syndicate P .0. Box 644 Adelphi Station Brooklyn, N Y. 11238 D E M O C R A C Y V S A P A R T H IE D In South Africa There Is Only One Solution Your Support of The Freedom Figniers Will Hasten the Day of Victory tor Democracy One man - One vote Give as d the absence of Liberty there diminishes ail ol us m truth t does Enclosed is my crecv M 0 for S as my conlnbulion to the F'eeoom f-g n ie is in the Soulh African S lru g j e toi One man • One vote S T O P /R E A D Send C on ln b u lio n lo r Democracy Vs Apartheid Commiltee P 0 Bo« 644 Aqeiohi Station Brooklyn New York 11238 Jefferson High School Leadership Class invites all alumni to attend the Thursday. October 9th Homecoming Football Game Jefferson 13 1). off to its best start in years, will battle Cleveland 13 1) at 7:00 pm on Hopkins Jen kins Field 15210 N Kerby) The presence of all alumni will be acknowledged at half time of the game Sponsored by: The F i's l O ' lated Ooflina Peoples Service Inc A N Y Registered Not lor Profit Corp What kind of car do you want? And what kind of terms? A six week, Tuesday evening class designed for gardeners who want to create year round color compositions in their garden land­ scapes is being offered by the World Forestry Center, Tuesdays, October 7 through November 11, 7:00 p.m. to 9:00 p m. Join professional garden designer Barbara Ashmun, as she shows how to combine trees, shrubs, per ennials, bulbs, ground covers and annuals to create beautiful color displays. Ashmun has been a professional garden designer for seven years. Her planned sequence of bloom will allow gardeners to get continual color in their gardens, month by month. Slides, lecture and discus­ sion will inform and inspire both inexperienced and advanced gar deners. Cost is »35 for World Forestry Center members and »40 for others To register, contact the Forestry Center at 4033 S W. Canyon Road, Portland, Oregon 97221, (5031 228 1367. Christmas Clearing Bureau Briefing To Be Held Multnomah County needs to help more needy families this season. In response to that need, a coalition of Christmas Helping Agencies have united to better serve the needy of Multnomah County. This Multno­ mah County Christmas Clearing Bureau will help all agencies avoid duplication of services An addi tional goal of the Christmas Clear ing Bureau is to enable agencies, businesses and churches to work together. Volunteers of America of Oregon, United Way, Snow Cap, St. Vin cent de Paul Society, William Tern pie House, Dist No. 10 Toy b Joy Makers. The Salvation Army, Sun shine Division, Adult and Family Services, and Ecumenical Ministries of Oregon have united to serve the needy families of Multnomah Coun ty this Christmas season. The Multnomah County Christ mas Clearing Bureau will hold its first briefing at St. Francis Dining Hall, S E 11th b Pine, in the church basement, on Thursday, October 2 at noon. For more information, contact Tim Hornbecker. (503 ) 235 8431 W hip oul a pencil and look al the chart Then you'll really appreciate the astonishing fle xib ility of consumer loans .it First Interstate Bank of Oregon You can arrange a loan with the ideal m onthly payment to fit your budget For a new car Lite-im xlel used car BY Boat Vacation Or home improvements Suppose you want a new car, or more First, you can qualify lor a 1 % discount off the normal interest rales w ith automatic payments from your First Interstate Bank ( het king at count* Setond. w ith the right credit inform a­ tion, we can have your money ready the same day Apply for your loan Itxlay by t ailing or visiting First Interstate Bank And rememtier who tlet ides the terms maybe a used '85 or '86 car You decide your m onthly payments, if you want a longer tune to pay, or even if von want to make a down payment at all The same flexibility applies to pre­ m ium iisr-d cars of recent model years and all other consumer loans (Certain restm tions do apply And you must qualify, of course ) Convenient as tfi.it may be. there s Examples of Typical Loans1 Payment Terms 60 Months New Car Selling Price • ( fc.^-s hd H,< ImU A Down 10% Down 0% Down Annual Equal Monihh Pert elitage Am ount Borrowed Rale- Payments Equal Annual Monthly Peri eiltagc Borrowed Annual Equal Monthh Percentage Amount Payments Rate- Borrowed Payments Kale $ 7,000 $ 7.(XX) $151.32 11.06% $ 6,300 $136 18 I I 10% $ 5,600 $121 05 l i l t $10,(MX) $10,(XX) $216.17 10 97% $ 9,(XX) $194 55 10 99% $ 8.(MX) $172 93 11 02% $12,600 $272 37 10 92% $11.200 $242 11 10 91% Amount ♦ 1 1 $14,(XX) $18.000 $14,(XX) $18.(XX) $302 63 $389 10 10 90% 10 87% $16.200 $350 19 10 88% $14,400 $311 28 10 9 0 % I • » • Ualr» si,, wii are - 4 ’ • Irr M M •’< • InfetrM rate IO 7SX (I mitt« Ir» M lt di» < lami »Hti aut» main j»ay turni», • Z Blood Clinic A public Hypertension (blood pressure) Screening clinic is ache duled Thursday, November 6, from 1:30 3 p m., at the new King City Retirement Center, 11777 SW Queen Elizabeth, King City. The cli­ nic will be staffed by registered nur ses from Meridian Park Hospital. Tualatin The clinics are scheduled the first Thursday of each month, appointments are not necessary, and there is no charge. For more in­ formation, call 692 2666 LOAN HOTLINE Call weekdays from 10 a m. to 7 p.m., weekends from noon to 5 p.m. Portland 225-4000 Outside Portland: 1-800-228-0454 0 1 Firs# /rrterstafe Bank M e rn fr rH * • * i * $ , F • 1 v X». *. t *