The immediate problem is a desperate need to pay off maturing construction loans or negotiate new terms with existing lenders. (nreionline.com)
The price they pay for irresponsible behavior is tremendously high and includes hefty late charges and fees from existing lenders as well as restrictive terms on future loans, resulting in high borrowing cost. (badcreditloanservices.com)
This contradicts the typical format of lender priority, in which existing lenders who already have a claim to collateral used to secure debt would have the primary position. (investopedia.com)