Key Bank Pulls out of Marine and Recreational Lending Altogether
 

That is not encouraging for those of us that have to finance our toys.

does that mean that my loan with them will be forgiven?:evilb::evilb:

wow.....they were one of the biggest!

Thanks in part,to Passport Marine:mad:

we are into them for a lot, hope they don't start calling in loans

They don't call loans on boats. They call loans on borrowers. If you have a straight title-secured loan they can't call it if you are in good standing. If you have a "Preferred Ships Mortgage" they can call the loan for dam near any reason.

Some quotes this week during the financing of my purchase:

Credit Union: 8.75%-- 5 years.

Monroe Bank and Trust: 8.24% -- 5 years.

Huntington National Bank: 7.24% -- 10 years.
(This is a great rate on a used boat)

I think that because Key is so big they have a lot of the repos. Get with a credit union or a smaller bank and people should be fine.

Hmmm... you're going to have to elaborate on that one...the ones I have had in the past have little difference in default clauses than a standard security agreement, with the exception of charter, cargo clauses and reflagging...

I'd be interested in specifics that are different than a standard security agreement.

we are into them for a lot, hope they don't start calling in loans

most consumer loans do not have a "due on demand" clause, may even be illegal in some states, so they can't be "called" unless you default (ie, not making payments, not paying insurance, letting the collateral go to pot, taking it out of state and so on) Pull out your note and read the default sections and also read your security agreement terms of default(sometimes they are combined in one document), that will tell you when the can accelerate the remaining principal due.

If you haven't violated one of those terms, they aren't coming after you, or of the would they couldn't enforce it.

Key also bought much deeper then the other lenders

If they are still writing loans for another month it should be obvious that they are not calling existing loans.

What? They couldn't get the Bush to bail'em out?:eek: