Camino Financial Loan Rescheduling Program

What is loan rescheduling?

How to reschedule your outstanding loan?

• Call the Collections team at (213) 267-6405 to open a loan rescheduling case that is reviewed by the Servicing team. The case review requires proof of hardship from the borrower and access to the borrower's bank transaction data via a Plaid connection
• Upon case approval, the borrower is required to make a good faith payment(s) equivalent to 50% of the contractual monthly loan installment
• Borrower reviews and electronically signs the rescheduled loan agreement

Benefits

• It helps the borrower avoid defaulting on its loan if the business no longer has the capacity to make the full loan installments
• Avoid severely deteriorating the borrower's credit score for every 30-day period in which the loan account is marked as "Past Due"
• Remain in "good standing" with Camino Financial in order to access more capital once the business has recovered from its hardship 
• The borrower frees up cash flow as the rescheduled loan payments are typically between 30% to 50% lower than the original payments
• The borrower's account returns to its Current status without paying all the past due amounts, including accrued interest and fees
• There are no hidden fees associated with rescheduling, and all accrued fees associated with the string of late payments are waived!

Considerations

• Since the repayment period is extended, the borrower will pay more interest if they hold the loan until its revised maturity date
• If the borrower fails to make the promised good faith 50% payment, they will no longer be eligible to participate in the loan restructuring program.
• If the next scheduled payments are not made on time, the borrower will lose the benefit of participating in the loan restructuring program
• The new loan account will appear as a "modified loan," which can result in an initial drop in the borrower's credit score, but it has a far less negative impact than a string of late payments or loan default.