Why will borrowers pay such high rates?
The timing of capital needs of the borrower can be driven by their financial obligations (tax surprises, estate issues, balloon payments to name a few). Business opportunities sometimes arise when conventional lenders simply cannot react in as timely a manner as DLG. In these circumstances DLG provides a bridge for businesses to meet their business objectives. The loans that DLG underwrite and sell to investors are generally to borrowers that do not qualify for traditional lower interest rate loans due to poor credit history or other problems.
