Commercial Lending Capital Inc. **WARNING** DO NOT SIGN THIS TERM SHEET ! Red-Flag Areas are summarized below!! Riverside California

The entry above is right on and a true account of how CLC operates. Any outfit that has 90% turnover every 30 days is far from doing things on the straight and narrow. CLC banks on their 'Account Executives' quitting or being terminated so that they do not have to pay out when the loan funds. But loans don't fund at CLC thus the ridiculous percentage in employee turnover, angry Brokers and Clients. CLC lies to scores of honest hard-working individuals that come there to work with the intentions of making a decent living. CLC also banks on bad deals being submitted. An honest company that is in the business of funding loans would have an experienced and honest staff that can size up a commercial loan package(complete) within 1-3 days and let the Broker know if their calculations are accurate pending a full appraisal by a certified MMA Commercial Appraiser. Heck, if they want to charge for this service then a couple $100 as a processing fee seems reasonable considering  commercial loans can be complex and a good number of Brokers do not fully understand the different calculation methods. If this was how CLC was making money, I would not have too much of an issue with it. But they do not practice the aforementioned method. They prey on trusting Brokers and Clients looking for and hoping to find errors and discrepancies in the loan documentation. They drag out the process and will call the Client behind the Broker's back. Even go so far as to offer the Client a hard money loan from another lending source when the Client could have gone hard money without the headache from CLC. Then the Broker and Client get rude emails from Nicole Ferguson basically telling them that she is 'all-knowing' and everyone else is to blame for submitting the loan.

  As an ex employee of CLC I can assure anyone of the following:

1.  they require "1099" employees to work 8 hours a day making calls to brokers in an attempt to pursuade them into a "loan submission"  (noting the submission pays the employee about $150 ...UNTIL THE LOAN FUNDS....WHICH WILL NEVER HAPPEN)

2.  nicole ferguson will periodically offer a " $100 bonus to the first person with 5 submissions (just an example of her little games)"....100 bucks as compared to the 1000"s they will steal from the unsuspecting borrower is a great deal for CLC...

3.  hence the huge turnover in employees who they give the name "account executives"....just a fancy name for "telemarketer" 

4.  THEY DO NOT FUND LOANS.  they take up front fees for an appraisals which are never done.  they cut that cost by ordering a broker price opinion for less than half the cost of an appraisal....and the remainder of the time (prior to cancellation) is not spent "processing" rather "looking for any error that will justify cancelling the loan."  The most common is the "estimated value provided by the broker during submission" differs from the "appraised value" (which is not an actual appraisal..don't forget) so they cancel the loan....the borrower loses thier UP FRONT FEES...and the cost of arbitration is too high to fight.  Or they threaten the borrower with the cancellation fees if the borrower wants to pursue getting the 3rd party fees returned.  Its called coersion. 

I am a reputable broker in Virginia and I can tell you now that I will NEVER use Commercial Lending Capital again. I will be posting a separate report in the coming days, summarizing what they did to us.

I am in touch with more than one employee there, and the level of arrogance and dishonesty at this company is remarkable. Not only is the owner vulgar & mean spirited, miserable & dishonest likely apply as well. She seems to take great pride in demeaning not only her staff, but apparently customers & brokers as well.

Until recently, no one had been able to take any action against these thieves. Finally, there are enough people who've had enough of what this company has been getting away with and their days are numbered. No one who has ever done business with or worked for them has gone away with a positive experience.

They are guilty of fraud, and it's companies like this that have caused the mortgage industry to have such a horrible reputation. How do you sleep at night, after taking money from people/businesses that really need help?
How can you feel good about taking MORE money from someone that cancels a loan request because 4mos after taking fees, you haven't done anything with the loan?
How can you feel good be satisfied with your business, when none of your customers are ever satisfied? Simply becaue you haven't been sued successfully? Is that how you measure success?
Why is it that once customers or brokers attempt to have their concerns addressed, they are given the run-around and avoided at all costs by company employees? How can such poor customer service be good for future business? Is it that once fees are collected, you have no further use for the customer? Is it because your fine print contains language that is designed to make it more profitable for the company if the client attempts to cancel the loan request?
No less than 20 former "customers" are in talks with attorneys intent on taking action against this company. Even with the formidable legal assistance the company has procured, They will not be able to continue with this dishonest, criminal behavior much longer. I've been in touch with others who were ripped off by them and will not be satisfied until they change their practices, pay money back the individuals they blatantly stole from, or are closed down

I am an attorney who is evaluating CLC's handling of a specific transaction. I have no opinion with respect to the company.
Thus, I would appreciate getting solid details/background on the experience of other folks who have dealt with CLC. Surely there are some satisfied customers out there, and I would like to hear from them as well.

Commercial Lending Capital has NO INTENTION of ever actually closing loans. But then, why would they? If they're able to extract fees from roughly 20 customers on a monthly basis ($5,000-12,000 per) that's $100,000 minimum; more than enough to turn a substantial profit. Their employees are kept in the dark regarding the status of the loans submitted, so that the customer is unable to ever actually get their loans closed.

What's worse in my opinion, is that once a customer realizes that they won't receive help, and decide to cancel the loan request, the fine print enclosed in CLC loan documents puts the customer on the hook for a "cancellation fee", which turns out to be at least 3% of the total loan amount. So, not only have you paid your up-front fees, but now, if your loan amount is over $1,000,000 you owe the company no less than $30k in order to cancel.

Commercial Lending Capital has NO INTENTION of ever actually closing loans. But then, why would they? If they're able to extract fees from roughly 20 customers on a monthly basis ($5,000-12,000 per) that's $100,000 minimum; more than enough to turn a substantial profit. Their employees are kept in the dark regarding the status of the loans submitted, so that the customer is unable to ever actually get their loans closed.

What's worse in my opinion, is that once a customer realizes that they won't receive help, and decide to cancel the loan request, the fine print enclosed in CLC loan documents puts the customer on the hook for a "cancellation fee", which turns out to be at least 3% of the total loan amount. So, not only have you paid your up-front fees, but now, if your loan amount is over $1,000,000 you owe the company no less than $30k in order to cancel.

Commercial Lending Capital has NO INTENTION of ever actually closing loans. But then, why would they? If they're able to extract fees from roughly 20 customers on a monthly basis ($5,000-12,000 per) that's $100,000 minimum; more than enough to turn a substantial profit. Their employees are kept in the dark regarding the status of the loans submitted, so that the customer is unable to ever actually get their loans closed.

What's worse in my opinion, is that once a customer realizes that they won't receive help, and decide to cancel the loan request, the fine print enclosed in CLC loan documents puts the customer on the hook for a "cancellation fee", which turns out to be at least 3% of the total loan amount. So, not only have you paid your up-front fees, but now, if your loan amount is over $1,000,000 you owe the company no less than $30k in order to cancel.

Commercial Lending Capital has NO INTENTION of ever actually closing loans. But then, why would they? If they're able to extract fees from roughly 20 customers on a monthly basis ($5,000-12,000 per) that's $100,000 minimum; more than enough to turn a substantial profit. Their employees are kept in the dark regarding the status of the loans submitted, so that the customer is unable to ever actually get their loans closed.

What's worse in my opinion, is that once a customer realizes that they won't receive help, and decide to cancel the loan request, the fine print enclosed in CLC loan documents puts the customer on the hook for a "cancellation fee", which turns out to be at least 3% of the total loan amount. So, not only have you paid your up-front fees, but now, if your loan amount is over $1,000,000 you owe the company no less than $30k in order to cancel.

I am not a broker or a client. I might be someone on the inside who is going to expose you for what you're really doing!

I do not know Jim Stevenson and I don't care to know, but thanks for letting me know that I can get an alert by email; I did not know that.

CLC Legal is really Clinton Davis. Nice try Clinton. You forgot to disagree with me that Nicole is a Whack-Job.

My post was factual and truthful.

Ironically, could it actually be the case that lgl and naking are the same person?

The only thing that is consistent about this illegitimate company is their endless series of lies, mistruths and shameless attempt to manipulate us brokers and consumers in an attempt to convince us they are for real. The truth will tell all things in the end. They think the consumer and the brokers are there to be taken advantage of plain and simple.

Here is what is known about this firm.

1. They are only a mortgage broker, pure and simple. They are not lenders in any fashion (direct, wholesale or correspondent).
2. They prey on inexperienced brokers and unsuspecting consumers during an economic downturn when every bit of cash is needed for a business owner or investor to survive. Despicable
3. They purposely do not do proper due diligence (request business financials) before issuance of their pre-approval. The approval we got they called an approval but really in the end it is an expression of interest.
4. They need your deposit funds to stay alive. They only thing they really ever fund is their overhead on your dime.
5. They will lie, say and do anything to get to your money only to leave you up the creek in the end.
6. They are currently under investigating by the department of real estate for the above mentioned

Hey we lost out on money and so did several other. Rip off report is here for the consumer to share their experiences thank god this outlet is here to expose illegitimate companies like Commercial Lending Capital.

Do you really want to risk your money with these shady characters???? You have been forewarned.

Ironically and coincidentally, there is no Jim Stevenson in our database. Not as a client, nor as a broker. Not now, not ever. However, it is also ironic that the spelling and writing demeanor of this second post is identical to the original "complaint". Same use of caps, same use of abbreviations. Also, no reference to a specific file, client, etc. Also amazing that "Jim's" response came in within hours of CLC's rebuttal, clearly because the original poster is notified when a response is made to their complaint. Mighty coincidental, isn't it?

Is Ripoff Report ever going to be stopped for allowing these erroneous bashing sessions to occur? When are businesses going to be able to continue operating without being victims of ignorance, disgruntled employees, and moronic deadbeats?

"Tom" and "Jim", maybe on your next post you could pick a more creative name, or actually attempt to reference to a "fake" file name to make this seem more credible.

To those of you actually reading this post, CLC and their legal affiliates do not feel the need to continue addressing this further, as we believe the aforementioned validates the complete and utter ludicrous nature of these allegations.

Tom you are dead on. My clients were ripped off also. What they do is simple. They are not lenders at all. They actually state they are wholesale lenders, which is laughable because that is a lender that buys loans. They say that they only take deals from brokers for one paramount reason.....so if the deal does not work out they can blame you. You see this company is despicable as they come. They never ask you or your client for the financials on the business up front and they instead just tell you that you are approved and ask for your money for the reason of appraisal, etc. The truth is you do not need to give anyone money upfront for appraisal and instead you can give it to them after they approve your loan. They told us they were lenders we sent in the money and were douped just like I have come to find as many others. (Even their own employees told us what is really going on....after the fact of course).

We have spoken with the CA Department of Real Estate and they are currently investigating them for this fact that they are deliberately misleading borrowers by telling them they are lenders and also by not even asking for financials before they tell you that you are approved. My mistake to trust this company I learned my lesson and paid my client out of my own pocket for there losses because I felt bad for unknowingly leading them to these corrupt liaing crooks.

If you ever have the misfortune of talking to the COO there, Mrs. Ferguson, beware. She is a maniacal, low life and shameless individual. The emails she sent me and my clients were classless and unprofessional you could not even imagine. These crooks have no shame and decency. Spread the word and contact the DRE like we did these scumbags need to be stopped.

OH AND CLC LEGAL.....ITS NEVER BASHING WHEN IT IS THE TRUTH!!!!! HAVE YOU NO SHAME???

Tom you are dead on. My clients were ripped off also. What they do is simple. They are not lenders at all. They actually state they are wholesale lenders, which is laughable because that is a lender that buys loans. They say that they only take deals from brokers for one paramount reason.....so if the deal does not work out they can blame you. You see this company is despicable as they come. They never ask you or your client for the financials on the business up front and they instead just tell you that you are approved and ask for your money for the reason of appraisal, etc. The truth is you do not need to give anyone money upfront for appraisal and instead you can give it to them after they approve your loan. They told us they were lenders we sent in the money and were douped just like I have come to find as many others. (Even their own employees told us what is really going on....after the fact of course).

We have spoken with the CA Department of Real Estate and they are currently investigating them for this fact that they are deliberately misleading borrowers by telling them they are lenders and also by not even asking for financials before they tell you that you are approved. My mistake to trust this company I learned my lesson and paid my client out of my own pocket for there losses because I felt bad for unknowingly leading them to these corrupt liaing crooks.

If you ever have the misfortune of talking to the COO there, Mrs. Ferguson, beware. She is a maniacal, low life and shameless individual. The emails she sent me and my clients were classless and unprofessional you could not even imagine. These crooks have no shame and decency. Spread the word and contact the DRE like we did these scumbags need to be stopped.

OH AND CLC LEGAL.....ITS NEVER BASHING WHEN IT IS THE TRUTH!!!!! HAVE YOU NO SHAME???

We appreciate "Tom" taking the time to write his very detailed bashing session, however can't help but notice "Tom" didn't reference to himself as a client, a Broker, didn't give a company name, didn't reference to a specific file, incident, nor did he even give his last name. It makes it rather difficult to figure out where the root of Tom's obvious anger stems from, but we will do our best to point out the flaws in Tom's erroneous allegations;

1. First of all, it would be difficult for an outsider to know who a "lender" is or isn't a correspondent with, as typically this information is privileged, and often considered "trade secrets". Contrary to "Tom's" statements, CLC actually does have correspondent relationships with several local institutions. "Tom" also conveniently leaves out the FIRST paragraph of CLC's contract, specifically titled, "SCOPE OF REPRESENTATION", which states that CLC has the right to act as a Broker OR lender. We reserve this right simply for the fact that if something happens between point A and point B during your loan transaction, we'd like to have the option to utilize other loan programs to still keep your loan in-house, rather than cancelling your loan because your credit dropped, value of your property depreciated, etc. If "Tom" views this as a negative thing, we find this odd, as the majority of our other clients find this a positive spin.

2. "Tom" alleges that, "they can deny the loan and keep your money for something as simple as you incorrectly stating the appraised value."

Let's think about that for a second... If the lender actually orders an appraisal, PAYS for the appraisal, assuming the value will be what YOU tell them it will be and it's not, do you expect that the LENDER will eat the cost of the appraisal? Apparently this is what "Tom" is saying the case should be. What we don't know is if "Tom" is the Broker or the client, but what we DO know is that CLC is a wholesale lender, so we only deal with Brokers. So this means we expect that a Client will be adequately represented by a Broker. Considering the fact that the average commercial loan is $750,000, and the average commission is 3%, that's an earned fee of $22,500. One would assume your Broker would be competent enough to do the proper due-diligence to investigate the valuation of your property before submitting the loan request to a lender, would you not? Why else would they be entitled to a fee of $22,500? Therefore, why blame the lender if your property value comes in low, and why would you expect the lender to eat or refund the appraisal fee? This accusation by "Tom" seems ludicrous.

3. Of course a lender can't guarantee a closing date. CLC's Term Sheets state in several areas that time is of the essence. Unlike most lenders, we state in several areas what to expect of the loan process, are very up-front about it, and tell a borrower multiple times that you MUST supply conditions before we can order an appraisal, etc. To close in an expeditious manner, we expect conditions in within 14 working days. If a client/Broker doesn't do so accordingly, is it the lender's fault that the loan doesn't close in 60 days? Should the lender still guarantee the closing if they don't have adequate conditions TO close? This is yet another ludicrous and irrelevant accusation by "Tom" as clearly anyone who's ever done a commercial, (or even residential) transaction knows that no one has ever 'committed' to a closing date. It's absolutely impossible. Further, the lender has no idea if additional obstacles could arise, such as environmental issues, deferred maintenance, etc. that could delay a closing.

4. "Tom" seems like an intelligent enough individual, finding adequate means to slander a company. Therefore, we find it highly unlikely he succombed to a company "pressuring" him to sign a contract, as he also alleges.

5. "Tom" is also incorrect in several other areas. He apparently doesn't know what a non-circumvention clause means, as it only states you cannot circumvent the existing lender. This does not mean you cannot or could not pursue financing elsewhere. Further, CLC could not DENY your loan and still enforce cancellation fees, unless the denial was due to gross misstatement of fact on your behalf, and the fees were earned. In other words, if CLC paid for an appraisal, environmental, property survey, title/escrow, and 90+days of labor fees, (on average a loan file touches 24+ hands) then common sense says you will pay the fees associated with these costs. If you did not agree with these fees, then you could initiate Arbitration, which is the most fair and cost-effective means of rendering an un-biased decision. "Tom" is also wrong in his claim that you would have to "appear" in Riverside, as anyone with an ounce of knowledge would realize you can appear telephonically.

Lastly, we'd also like to point out that "Tom" somehow alleges that CLC made a loan offer WITHOUT proper due-diligence. Why would someone sign a loan offer if proper due-diligence wasn't done? Why would this Broker encourage his client to sign a loan offer if they hadn't done adequate due-diligence? Better yet, why hadn't the Broker done any due-diligence to conclude that the client was eligible for the loan program offered on his own? Is anyone else seeing the holes in "Tom's" story here?

Thanks again for your feedback, "Tom". I think it would be helpful for everyone reading this if you actually referenced to a specific file, company, or were brave enough to leave a last name so we could get to the bottom of this. A generic bashing of a company, filled with erroneous allegations, and you can't even leave your company name or last name seems cowardly at best.

To all the other Brokers, business owners, or others who have been victims of Ripoff Report, take heed in the aforementioned. This one person's misdirected 'vengeance' could be aimed towards YOU next time.

Regards,

CLC Legal