small business loan not being renewed- help!?

About 10 years ago I used to have a business. I opened a line of credit for that business, and guaranteed it personally (it was the only way to get the LOC). For 10 years even though the business is no longer in existence I have been faithfully paying that loan back every month, on time. Some months I have paid back more than the minimum required, and have paid down the loan by about 10%.About $40K still is outstanding. My personal credit is excellent. Now the bank wants to "review" my loan, and is asking for a new application, and copies of business and personal taxes. There is no business left for them to approve, so naturally they will not approve the loan. I can't afford to repay the $40k all at once. What is my exposure? Can they demand all $40k now? If I can't give it to them, what happens next? $40k is not much compared to equity I have in the home I co-own with my partner- how much if any could they take? Can they take the home if my partner (not married) also owns it? Is there any way to "sell" my share of the home to other family? I have no idea how to do that- is it necessary? I appreciate any advice you may offer. Thanks!

9 months ago - 1 answers