Now this is what I call good journalism. Jonathan Ahl of public radio station WCBU has an analysis of WTVP’s crisis based on IRS reports the station has submitted over the past several years. It sure sheds a lot of light on possible reasons Bank of America is calling the loan to the station, and why the station can’t get enough financing elsewhere.
Kudos to Jonathan on finding and reporting this information!
Why are we just hearing this now???????
Still, it appears Bank of America is jumping the gun. If the station has made all payments (even though they may be in technical default of the original loan agreement) why would BofA want to foreclose knowing that they will not get back enough money to pay off the remaining loan amount?
Something else is going on.
It makes perfect since, WTVP was losing money like Lyn Howard at the Par-a-dice. Why would BOA want to sit around and wait till after the station was completely broke before closing on them? They saw one of their investments failing miserably and decided to act before they lost their shirt on the deal.
I don’t understand why this matters at all. The bank was getting its payments on time and has been paid everything it was supposed to be paid. If I lose my job, but can still pay the mortgage thru savings, family help, my wife working – should the bank be able to take my property. Heck no. If they are supposed to pay $5 a month and they are paying it then this is borderline criminal – that’s all there is to it. If tvp started missing payments…or even just one…okay, fine, but nohing should seriously happen until then…certainly not taking the property back. Come on, gimme a break.
ABC, you are right with what you said but that is not the ABCs of their loan. Their loan said if they don’t meet fund rasing goals BofA could call the loan. WTVP didn’t meet those goals and the bank called. What I don’t get is if they are making their payment, do you really care if they meet their goal? I understand the bank would want them to but if they can pay, does it matter?
In your scenario ABC, the bank probably wants you to have a job but they don’t care as long as you can make the payment. In WTVP’s case, they need to have a job or they are in default.
I seen this before with banks. Someone ran the numbers and has seen how they can make more money by calling the loan. Banks are out to make money and that is what this is all about.