Personal Debt vs Business Debt
Date: Fri, 03/05/2010 - 12:32
I have a personal and business account with a bank. Can I go through the settlement process with just my personal debt or should I just do both since they are linked to me?
I can't keep up with personal debt anymore, but I'm getting by (barely) on my business debt.
Thanks
It depends on if you have personally guaranteed your business de
It depends on if you have personally guaranteed your business debt. On my company's stuff - they have the company federal id number and then I am also listed on there as the principal with my social security number.
This prevents small business owners from running up all the debt in a corporation and then taking all the profits and putting them into their personal accounts to save them from the consequences.
I do want to say though that once a company gets to a certain size, institutions will issue credit directly to the corporation without a guarantee of the principals. But you have to be pretty big not to have to personally guarantee business debt.
boa will link them and if one is current you may have difficulty
boa will link them and if one is current you may have difficulty settling the other.
