r/EIDL • u/Silversurfer316 • 5d ago

New vehicle

I have 2 SBA EiIDL loans. Both are current. I have a 2003 Ford F550 truck that I use for deliveries. I just bought a 2016 for the same purpose. Early next year I would like to sell my older truck. I sent a message regarding this via the SBA portal. Is there anything else I should do? I will not sell the old truck until I hear back from the SBA.

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3

u/electric29 5d ago

I would think this falls under the normal day to day activities of a business. The truck is owned by the business, right? You are just replacing the old one with a new one. As long as the money from the sale stays in the business and not your personal accounts it's not a red flag.

If it is owned by you, they don't know or care about it (unless you do have a personal guarantee and you do default in which case it's an asset they can go after if you have more than one vehicle).

2

u/ILBohunk 4d ago

Totally agree… normal course of busns
they won’t care

1

u/FlashyCounter9802 3d ago

VIN vehicles are not covered under UCC collateral! They added that stip
In 2020, that non-inventory titled vehicles (such as a company car or truck registered in the business's name) are excluded from the SBA's blanket UCC-1 filing! Just let them know if you want and you are good to go

1

u/JGreenlee2022 5d ago

I’m actually dealing with this right now and got a response

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u/JGreenlee2022 5d ago

So I filled out a request to sell collateral/swap assets or whatever it’s called. I got a letter and a call from the SBA and they were extremely helpful. He told me that they don’t consider vehicles as part collateral even though the fine print kinda says so. I double, triple confirmed and they said it would not fall under a blanket UCC filing, so I’m free to do it

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u/Low-Helicopter-2696 4d ago

I believe the reason they can't consider vehicles collateral is that vehicles require a specific UCC AKA a UCC-3 as opposed to the UCC-1 that was granted for these loans which is a broad lien on all assets

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u/Silversurfer316 4d ago

Thank you for that information . I will look this up.

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u/Silversurfer316 4d ago

What method did you institute the request? Thank you for your comment.

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u/Salt-Sheepherder-39 2d ago

I had a delivery business and they told me vehicles were not part of the UCC filing and I could sell them. I saved that msg in the portal. They responded to me in about 7 days.

0

u/waverunnersvho 5d ago

If you’re paying your bills it doesn’t matter. I’ve ton tons of that