No Cross-Collateralization
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The Honest Truth About Major Banking Groups and Big International Banks

With any loan type, there are potential risks to consider before moving forward. In leveraged equities lending, the biggest threat while working with a local, major banking group or big international banks, the loans are not non-recourse loans. The loans bear cross-collateralization covenants across corporate and personal assets. In the event of a loan default, the borrower risks losing an entire portfolio of assets, corporate and personal assets.
As the No.1 Trusted Direct & Private Lender offering liquidity solutions for borrowers across all major stock exchanges, our industry-leading non-recourse leveraged equities loans bear No Cross-Collateralization Covenants!
What makes SCG stand out from the rest of the lenders? In the event a borrower’s loan triggers a default, the borrower can exercise provisions within the loan agreement, forfeit the underlying collateral, and walk away from the loan without any recourse.
There are times during the live “Introductory” video conference calls, we have borrowers at the helm of great-great stocks – large market cap companies who have open lines of credit. Many times, the borrowers are repeat clients who have already experienced our loan process and received funding on previous loan transactions.
During our conversations, these borrowers are always open to discussing other lending options, rates, and terms available. When asked – so what brings you to SCG? Why do you want to do business with as a private lender over going to your existing lender or major bank?
Listen to what they say, and they flat outright tell us.
Certainly, they could get funding through various other lending sources, including major banks.
The reason why they come to SCG is – They don’t want to be on the hook!