Breaking up is hard to do – Protect bank interests after a divorce

Description

Abstract: If a borrower’s business is co-owned by two married partners, will the business fall apart if the marriage does? This article looks at some factors community banks should be aware of if their loans are at risk due to divorce. The article explains how divorce could affect the ownership and operation of a small business. It points out that, if banks and their lenders stay on top of potential problems, they’ll likely be able to help borrowers navigate these difficult waters and come out relatively unscathed, protecting their loans in the process.