Banker's Healthcare Group (BHG) Personal Loan

[ridgebackpilot]

Has anyone done business with Banker's Healthcare Group (BHG)? They offer personal and business loans to established professionals that do NOT report to any of the credit bureaus as a new tradeline.

After I got past their constant, annoying mailings, they did a soft pull of my credit and approved me for an unsecured loan of up to $170,000. The terms were pretty steep: Seven year term with 15.99% interest and 4% origination fee. There is no prepayment penalty and the origination fee is financed into the loan. They explained that the level of risk they're taking justifies these fees.

I'm considering taking a lesser amount to pay off most of my credit card debt. My goal is to reduce CC utilization to near AZEO and raise my scores so that I can get the best rate on a cash-out refinance of my mortgage. I'd use the proceeds to pay off the BHG loan, so I'd really only be out the origination fee and a few months' worth of interest.

I've never before run across a lender offering unsecured personal loans that do not report to the credit bureaus. What do you think?

[Citylights18]

I have a loan with them. 

I do not know what balance I have on it, meaning they don't provide you with an actual website to check your balance on. Too cheap for that I guess. They also have a business credit card to offer out once you get approved for their product.

I'm at 8.8% but I'm generally not happy with it because I can't even see my balance on it. Maybe I can see it on a business software tool? If not are you even building credit with it?

[ridgebackpilot]

Thanks, @Citylights18. They work with Pinnacle Bank so perhaps the loan would show up on their website?

Working with BHG has been pretty straightfoward so far. Their product certainly is unique. Not reporting to the credit bureaus is a big deal.

As I mentioned earlier, I'm planning to pay off my personal loan using the proceeds of a cash-out refinance in a few months. So I won't be paying their high interest for long. The 4% origination fee hurts, but over time working with them will save me thousands.

[kremonis]

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@ridgebackpilot wrote:

Has anyone done business with Banker's Healthcare Group (BHG)? They offer personal and business loans to established professionals that do NOT report to any of the credit bureaus as a new tradeline.

After I got past their constant, annoying mailings, they did a soft pull of my credit and approved me for an unsecured loan of up to $170,000. The terms were pretty steep: Seven year term with 15.99% interest and 4% origination fee. There is no prepayment penalty and the origination fee is financed into the loan. They explained that the level of risk they're taking justifies these fees.

I'm considering taking a lesser amount to pay off most of my credit card debt. My goal is to reduce CC utilization to near AZEO and raise my scores so that I can get the best rate on a cash-out refinance of my mortgage. I'd use the proceeds to pay off the BHG loan, so I'd really only be out the origination fee and a few months' worth of interest.

I've never before run across a lender offering unsecured personal loans that do not report to the credit bureaus. What do you think?

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@ridgebackpilot& @Citylights18 

Collateral?

Anyway 4% orig fee off $170000 is $6800. I would be kicking and screaming before taking that haircut without examining other alternatives with a fine tooth comb.

Is this loan soley to pay off credit card debt? Are you also trying to cash out your equity?

[Citylights18]

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@ridgebackpilot wrote:

Thanks, @Citylights18. They work with Pinnacle Bank so perhaps the loan would show up on their website?

Working with BHG has been pretty straightfoward so far. Their product certainly is unique. Not reporting to the credit bureaus is a big deal.

As I mentioned earlier, I'm planning to pay off my personal loan using the proceeds of a cash-out refinance in a few months. So I won't be paying their high interest for long. The 4% origination fee hurts, but over time working with them will save me thousands.

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What I did with BHG to try to get the loan info.

1) Called Pinnacle Bank. No luck with even linking BHG to a relationship there let alone a loan portal.

2) Tried to register for online banking through this portal. https://my.bhgloanhub.com/login

3) Received an instant email for a registration request.

4) 24 hours later received an email from a CSR (NY office) stating that my loan does not have online access however they were able to pull my armortization schedule along with the interest I've paid so far into a spreadsheet.

Looking through my agreement I realized I didn't even have my armortization schedule as part of my files that I signed off on. But now that I do I feel better about it.

[ridgebackpilot]

Thanks, @Citylights18. I sent a registration request for online access to the website you suggested. They responded the same to me as they did to you. They sent me an amortization schedule for my loan.

Apparently my loan doesn't have online access either. That's a little odd in this day of online access to everything. Still, the CSR said I was free to contact them with any questions and payoff information, so I guess it's okay.

[GoalCrus]

Hey everyone!

Thanks for sharing your experiences.

I'm considering them (BHG Money) for a business expansion loan and plan to repay it over the next  2 years. I'd prefer an SBA loan but I do not have the capacity to deal with them and their shenanigans right now.

Do any of you mind sharing how the approval process went?

Did you have to provide a lot of documentation? or was it just a credit check?

Wondering if score + income + loan amount determined the vast difference in interest rates.

I need this to be as hassle-free as possible. Trying to decide between them and two other non-traditional lenders and want to know how I need to prepare before pushing the button, so to speak.

Thanks in advance!

[Citylights18]

As far as the approval process they really bill their product as "a loan the credit bureaus cannot see". I don't even know if I sent my articles of incorportation for my business over to them, though I might have. Proof of W2 income was sent over. The minimum loan they will do is 20,000 which is not uncommon to have a relatively high floor and I asked for about the minimum. I hoped to use it to build my business credit but to actually see your business credit it requires an expensive paid service in most cases (I'm talking here $100+ a month) and I don't want to pay for it so it wasn't clear how the loan was impacting my business credit.

They try to push higher amounts, a high processing fee and a pre-payment penalty all of which I negotiated down. Then after you sign on for the loan they push a credit card with good APR and 0% BT interest promotion for 6 months. They gave me a card of 14k which is a solid line and I did some BT but months later for the 0% BT credit which they tried to push as a use it or use it initial offer (don't be fooled by that).

Then after a few months of successful payment they tried to solicit to provide me more funding through emails. The rate I got was 8.8% which I thought was pretty good for a business loan but I might have been better just sticking with 0% APR business cards and taking a debt consolidation loan for the trouble.

[BachChaconne]

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@ridgebackpilot wrote:

Has anyone done business with Banker's Healthcare Group (BHG)? They offer personal and business loans to established professionals that do NOT report to any of the credit bureaus as a new tradeline.

After I got past their constant, annoying mailings, they did a soft pull of my credit and approved me for an unsecured loan of up to $170,000. The terms were pretty steep: Seven year term with 15.99% interest and 4% origination fee. There is no prepayment penalty and the origination fee is financed into the loan. They explained that the level of risk they're taking justifies these fees.

I'm considering taking a lesser amount to pay off most of my credit card debt. My goal is to reduce CC utilization to near AZEO and raise my scores so that I can get the best rate on a cash-out refinance of my mortgage. I'd use the proceeds to pay off the BHG loan, so I'd really only be out the origination fee and a few months' worth of interest.

I've never before run across a lender offering unsecured personal loans that do not report to the credit bureaus. What do you think?

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@ridgebackpilot -- Are you certain that PERSONAL loans don't report to the credit bureaus?  In looking around the internet machine, it appears that while COMMERCIAL loans may not be reported, PERSONAL loans are reported to all 3 major CRAs.

From the FAQs on BHGs website:  "Since BHG performs a soft pull, our commercial loans will not appear on your personal credit report."  (bolded emphasis mine)

From Supermoney.com:

Does BHG Personal Loans report your account activity to credit bureaus?

Yes, BHG Personal Loans reports your account activity to the following credit reporting agencies:

• Equifax
• Experian
• Transunion

Making regular on-time payments to a creditor that reports to one or more credit bureaus will demonstrate your financial responsibility and may help improve your credit.

[Citylights18]

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@BachChaconne wrote:

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@ridgebackpilot wrote:

Has anyone done business with Banker's Healthcare Group (BHG)? They offer personal and business loans to established professionals that do NOT report to any of the credit bureaus as a new tradeline.

After I got past their constant, annoying mailings, they did a soft pull of my credit and approved me for an unsecured loan of up to $170,000. The terms were pretty steep: Seven year term with 15.99% interest and 4% origination fee. There is no prepayment penalty and the origination fee is financed into the loan. They explained that the level of risk they're taking justifies these fees.

I'm considering taking a lesser amount to pay off most of my credit card debt. My goal is to reduce CC utilization to near AZEO and raise my scores so that I can get the best rate on a cash-out refinance of my mortgage. I'd use the proceeds to pay off the BHG loan, so I'd really only be out the origination fee and a few months' worth of interest.

I've never before run across a lender offering unsecured personal loans that do not report to the credit bureaus. What do you think?

---

@ridgebackpilot -- Are you certain that PERSONAL loans don't report to the credit bureaus?  In looking around the internet machine, it appears that while COMMERCIAL loans may not be reported, PERSONAL loans are reported to all 3 major CRAs.

From the FAQs on BHGs website:  "Since BHG performs a soft pull, our commercial loans will not appear on your personal credit report."  (bolded emphasis mine)

From Supermoney.com:

Does BHG Personal Loans report your account activity to credit bureaus?

Yes, BHG Personal Loans reports your account activity to the following credit reporting agencies:

• Equifax
• Experian
• TransunionB

Making regular on-time payments to a creditor that reports to one or more credit bureaus will demonstrate your financial responsibility and may help improve your credit.

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BHG will offer both personal loans and business loans if you have a registered business.

It would make sense the personal loans reported.