Consumer complaint received 2023-10-16
Company: BANKERS HEALTHCARE GROUP LLC
State: LA
Product: Payday loan, title loan, personal loan, or advance loan
Sub-product: Installment loan
Issue: Struggling to pay your loan

Complaint:
I had been getting mailers from Bankers Healthcare Group ( BHG ) for over a year saying that I was prequalified for up to {$250000.00}. When I decided to open a business in XX/XX/XXXX I had enough working capital. However, there were a lot of unforeseen circumstances That required me to need additional funding. I contacted bankers healthcare group about getting funding. I submitted an application and was contacted by the lending department. I explained the situation and that I was already financially too far in do not get funding. My application was ran by someone in Florida, and I was told that there was an approval and someone would be getting back to me. A day or two later someone from New York called me to tell me that based on my annual income of {$50000.00}, with minimal debt, I had been approved for {$20000.00}. I explained that I really needed to get funding and that at that point I was financially in over my head. I was told that if I had somebody go on the loan with me that I would probably qualify for more. I added my fianc to the loan and a day later I received another communication asking me if there was anybody else that could go on the loan with me. I asked my son-in-law to go on the loan to which he agreed. 
It was stated to me that the loan would not show on any of our credit reports and that there were easy terms and that there were some fees that would be rolled into the loan, but would be refunded at the end of the term. At no time was I ever told that these fees were optional. I was told that they would have to be added in order for the loan to move forward. I was told that I would not be able to make any extra payments towards the loan for the first five years. I disagreed with that and it was changed to one year. 
I was told that in order for the loan to be approved I would need to agree to the monthly payment to be auto drafted from my bank account. I agreed to it. The loan was approved for {$150000.00}. Within a couple of days {$140000.00} was deposited into my account however, my beginning balance was {$160000.00} at an interest rate of 17 %. 
The monthly payment has been {$2900.00}. After a few months I contacted the BHG to inquire how I could obtain a login so that I could closely monitor my loan and I was informed that they do not have any way to track the loan, with the exception of an amortization paper which was sent to me. Likewise, I have not been able to get information on how or where to make extra payments to after the one year. 
In XX/XX/XXXX I contacted BHG to inquire about getting a lowered interest rate or smaller payment amount due to my business financially, struggling and fearing that I would have to close due to not being able to make the monthly bills largely in part due to this payment. I was sent an email with the paperwork needed to fill out, which was very extensive and required more information than when I had originally applied for the loan. They were asking for financial information for myself, my fianc, and my son-in-law. Fearing that we would not be eligible for the hardship, I felt defeated. The paperwork was also asking for information that I was not sure how to provide. 
At the time of this complaint, 15 payments of {$2900.00} have been drafted from my business checking account, leaving a current balanced owed of {$150000.00}. After extensive research I have learned that BHG has had multiple complaints against them for predatory lending practices. 
BGH pushes to get the loan approved without running credit or allowing the borrower the ability to build credit from this loan, the only payment option is for auto withdraw, they require credit insurance without advising that this is option, and high interest rate. 
I am asking that BHG reverse the added fees in the amount of {$17000.00}, lower the interest rate, adjust payments already made to reflect the lower interest and apply the amount to the principal balance, lower the monthly payment to a position that does not create a financial hardship.

Company response to consumer: Closed with explanation