Lien payment - can I use it to pay off monthly instalments?

[dogsbollix]

Hi
I have a 20 year commercial loan and the lender has a 30k lien payment of mine. I am wondering if i approach them will they use it for the monthly payments? Otherwise if they say No and I default on payments do they just hold it or what happens. I don't want to approach the lender as they will know I am struggling on the payments then. I suppose in short I am wondering that if they don't apply it to the loan when do they start drawing on it or when do I get the use of it?
Thanks

 

[NorfBank]

I don't want to approach the lender as they will know I am struggling on the payments then.
Thanks

Hi puppiesprivates,

This is the exact reason you should approach the lender i.e when you are struggling, not when you start to miss your repayments.

The bank does not want you to miss payments and will (should) do everything they can to hep you make them.

Nobody on this forum can definitively answer how the bank will use the lien. They might use it to pay a lump sum off the mortgage and thus reduce your repayments to a more manageable level.

If you speak to them they may be able to leave the lien in place but increase the term, reduce the monthly repayments and help you to keep on paying the mortgage.