kennedy funding ripoff reportKennedy Funding: is a frequent heavyweight in the Commercial Real Estate Lending arena, offering quick closing high risk business loans to companies and developers. But in addition to its notoriety, comes a history of complaints and accusations that have been featured on the Ripoff Report which allows consumers to report bad businesses. What You Really Need To Know This review will go over the Kennedy Funding Ripoff Report to see whether fact or merely exaggeration, plus helpful tips for anyone working with private lenders.
What is Kennedy Funding?
About Kennedy Funding Founded by Kevin Wolfer, Kennedy Funding is a private real estate lender specialising in commercial loans for investment property across 50 states. The business, which has built a name on making the kind of loans to borrowers in financial distress or other high-risk situations that most banks won’t go near. That approach—plus Kennedy Funding’s emphasis on quick approvals and flexible lending terms—has made it an attractive pick for companies looking to secure non-traditional financing.
What is the Kennedy Funding Ripoff Report?
The Ripoff Report — Consumers can post complaints against businesses online, with little to no verification. Several complaints, ranging from claims of misrepresentation to non-performance and excessive fees, have been filed on the platform–Kennedy Funding has been named in numerous reports. Some of the complaints raised were whether or not Kennedy Funding is a fraud, if they are an unethical lender and even one as to why funding was delayed.
Common Allegations Against Kennedy Funding
1. Misrepresentation of Loan Terms
Among the most common allegations are misrepresentations regarding loan terms. According to the defendants, sometimes loan terms such as interest rates or repayment schedule would be misrepresented in initial representations made by Kennedy Funding but were then not reflected on the actual promissory notes that constituted an executed contract between a borrower and lender. A few borrowers said they got final agreements showing higher interest rates or unexpected fees.
Kennedy Funding [Reply]: Kennedy Funding has gone on record and refuted Cameron’s allegations, stating the loan terms are in writing and transparent before they are signed. The company claims any misunderstanding about this point could come from miscommunication during the negotiations. In the latterly committed-to-transparency case they say, all terms are laid out in legal paperwork — that leaves little hindsight hair-parting.
2. Failure to Deliver Funding
According to a number of reports, Kennedy Funding closed on the loan but failed to provide any funding after taking up time and resources from those borrowers applying for it. In those instances, borrowers charged that Kennedy Funding reneged at the last moment and they were left in shaky financial ground.
Kennedy Funding Response: The company argued that, in certain cases, due diligence is extensive and the final underwriting decision does not meet their criteria. Despite being one of the few firms that will offer risky loans, there are still times when deals go awry due to borrower financials changing or a property not appraising for as much. This is a terrible practice and being quite common in the private lending world, it is particularly pronounced for challenging or high risk projects.
3. Excessive Fees
Most of the complaints on Ripoff Report talk about expensive fees Kennedy Funding charges with many borrowers stating that they had paid upfront fees without receiving a loan in return. This includes application, legal and other administrative fees.
Kennedy Funding has defended its upfront fees, saying the charges are needed to help underwrite and process loans from high-risk borrowers. The company says all fees are disclosed up front and that borrowers know what the costs will be before agreeing to do business with them. Because the nature of high-risk lending is what it is, fees are usually higher to reflect the increased risk.
Understanding the Truth Behind the Ripoff Reports
There are allegations on the Ripoff Report, but Riway points out it is an unverified complaint platform where anyone can say something without proving anything. Some of the complaints are likely just misunderstandings, or unhappiness with the results; high-risk loan deals will always be more volatile than plain vanilla lending.
Specialising in a niche market, Kennedy Funding provides lending for borrowers and developers who are typically denied funding by traditional banks. Deals tend to go south (or come with less than desirable terms compared to a traditional bank) as it is inherently a more risky client base.
Fact vs. Fiction
In Islington, instance of borrowers misunderstanding the terms: Kennedy Funding says all loan agreements are legally enforceable and open. Because private lending allows for more flexibility, but often also carries harsher terms with lenders not fully explaining the details of a deal to the borrower beforehand.
Failure: All deals do not always come through final approval because of the high-risk lending nature. While this is commonplace in private lending, it can be irritating for the borrower who has gone through time and money to get there.
Excessive Fees: High Upfront fees are typical in private lending so it is when you work with high-risk or offbeat projects. Borrowers should be aware of these charges—many times they are lesser known and thus overlooked.
Protecting Yourself When Borrowing
If you are considering working with Kennedy Funding or any other private lender, there are steps you can take to protect yourself:
1. Research the Lender
Extensive information about the lender before any sort of compacts are signed. Read reviews on multiple pages like BBB, professional networks and other sites. While accompanied by more impartial reviews, Ripoff Report often serves as a decent place to start before further investigation into any company or service offering.
2. Get Everything in Writing
Ensure That Every Word Spelled Out in Your Loan Document Never trust verbal agreements and assurances that your lender may promise to you. On a complex financial transaction detail and documentation are key.
3. Understand the Fees
High-interest fees are common in both the private and traditional banking sectors, with more risky loans attracting a higher charge. Make sure that before you proceed, you understand all the costs related to the loan like application fees and legal fees along with possible late payment or default penalties.
4. Consult with a Lawyer
This ensures that you understand all the terms of your loan and prevents unwelcome surprises as a result. A lawyer can also help to safeguard your interest if any disputes occur during the loan process.
5. Prepare for Risk
Naturally, high-risk loans are more uncertain than your traditional loan. Know that the deal might not go through, or if it does then most likely at less favourable terms than a traditional lender would offer. If you do decide to pursue a new job, be sure that you know how you’re going to work with your finances should they not go according to plan.
Conclusion
The Kennedy Funding Ripoff Report shows a variety of complaints that cause some potential borrowers concern. Now, it is important to remember that the lending industry Kennedy Funding operates in is a riskier and more complicated environment than traditional banks. When coupled with careful research, clear communication and a firm understanding of the loan’s terms; high-risk commercial real estate loans can leave borrowers protected.
Even if some of the complaints may highlight real frustrations, that does not mean it is wrong-doing. Instead, they are a reflection of how difficult the high-stakes commercial lending world can be. Deals must be entered into with open eyes, and an informed borrower ends up as a lender…..and any good private lending deal is not for the faint of heart.
