A Symphony of Special Servicing Expertise™Lending Compliance Systems®
DISTRESSED ASSET MANAGEMENT AND DIVESTITURE SERVICES
For over 40 years, EDS’ Lending Compliance Systems® Group has provided the complete spectrum of special servicing, collateral management, and risk-mitigation services to financial institutions, lenders, leasing companies, and myriad other creditors, investors, and stakeholders throughout the world, and we have generated and returned Billions of Dollars to our clients’ treasuries.
Special servicing services in banking refers to a specialized function that deals with managing distressed or troubled assets, typically loans or investments. When a borrower is unable to meet their payment obligations, these loans are considered at risk of default. Special servicing steps in to handle these cases, aiming to minimize losses and maximize recovery for the lender or investor.
EDS’ Special Servicing Services team often takes over from regular loan servicing when the loan becomes delinquent or encounters problems such as non-payment, bankruptcy, or financial distress on the part of the borrower. Our role includes:
- Workouts and Restructuring: Negotiating new terms, repayment plans, or restructuring the loan to make it more manageable for the borrower while still aiming to protect the interests of the lender.
- Foreclosure or Repossession: Initiating foreclosure proceedings or repossessing collateral, depending on the type of loan and the available security.
- Risk Assessment: Evaluating the potential risks and determining the best strategy for minimizing losses, whether through renegotiation, restructuring, or liquidation.
- Legal and Regulatory Compliance: Ensuring that all actions taken comply with relevant laws and regulations, which can be complex and specific to different types of loans or assets.
- Communication and Documentation: Maintaining communication with the borrower, documenting all actions taken, and keeping accurate records of the process.
Overall, our special servicing aims to navigate the complexities of distressed assets and maximize recovery while minimizing losses for the lender or investor involved.
Our distinctive Lending Compliance Systems® programs and services reduce risk and bring our clients the safety, comfort, flexibility, and confidence to increase credit to existing customers and to seek out and book new business opportunities where others cannot.