Limitless Funding Source? Unsecured loans? Pros and cons?

Question

Has any one ever used Limitless Funding Source?

They offer unsecure loans, not using any collateral.

I'm exploring options and this seems like a good way for me to purchase the next deal but I'm treading lightly as using unsecure loans sounds pretty risky and of course I need to consider ALL things including their terms, market conditions, capital on hand (about 30k to invest) and my strategy which is to BRRR.

The goal is to acquire cash flowing rental property and scale as fast as possible. I can use hard money as well but I wanted to go below their minimum loan amount. I figure if I went with the unsecure loan I can purchase under that minimum loan amount that the HML requires (preserving my 30k in capital vs using it as a down payment). So I figured it was worth considering.

I would then refinance it into a DSCR 30 year fixed, pull the cash out and repeat the process similarly from thereon.

Even if you've never used this company (Limitless Funding Source) specifically, I'd like to hear about your experience in using unsecure loans to purchase rental properties.

Greg Kasmer · Answer

Johnathan - I've used unsecured lines of credit to purchase and rehab properties in a BRRRR strategy before. You'll have to double check the minimum amount due each month to be sure you can make the payments prior to securing long term financing. For example, interest only vs. interest and principle vs. interest, principle as well as a certain minimum % of the loan are all types of payments I've see on lines/loans of credit. You want to make sure you can have enough cash to make the payments while renovations occur and before securing long-term financing... as well as give yourself a little (2-3 month) cushion just in case. Good Luck!

Marcus Wright · Answer

I’m looking into doing a similar w/ Limitless Funding Source. Came here to attempt to check their legitimacy. Did you decide to move forward with them or did you choose a different course of action?

Greg Kasmer · Answer

Jonathan - I've had some success with business lines of credit with smaller credit unions in my region (Sun Federal Credit Union), as well as some larger banks, including Wells Fargo and PNC. I'm sure others (BOA) might be able to provide lines of credit as well, but as with all of them you'll have to provide good documentation for their applications. Good Luck!

Jonathan Perez · Answer

I did not. From my research I found that the LLC they’re claiming is not registered on sun biz, their Facebook page reviews are all robots and when I went over to their office stated on their website, I was told that there’s no such company doing business at that location.

Not saying that they are NOT legit but from what I researched, nothing seemed to add up, so I had to pass on them.

Seth Thompson · Answer

Thank you for this thread. Limitless Funding source also reached out to us and I was hopeful but after a phone call with a representative, feel as though it is not a safe route. I did not give them personal information and would suggest others not to as well. Considering when I asked questions about who backs their funds and if they are held within the US... they could not fully respond. They did say USA funding but couldn't supply how they are able to offer such funding without collateral of any kind. Also, the representative did not know what it meant to be FDIC insured. And did not offer any name for who insures their funding. Even if they are not FDIC insured, they should be knowledgeable enough to know what FDIC insurance is. They said, "I do not know what that means".  Best to steer clear of Limitless Funding, imo.

Ben Gibbs · Answer

I have had similar situations with everyone here. I kept hearing about them in all of my feeds and getting messages in my inbox. So, I thought I would get on call with them and see what they are about. I got some general information upfront and then they said they wanted to pair me up with an account rep and get things set up for me. There was no clear transparency in the initial call about how things work, what the terms were like, how my personal and business credit would be affected, or anything like that. Monday, the 27th, the Monday after Thanksgiving, I started getting hit with call after call and finally, a pushy text saying they were just going to remove me from any opportunity of being on the calendar with an account rep.

My response: Nothing lost, Nothing gained!

I have not used Fund and Grow but I did have a consultation with them about unsecured lines of credit and they were upfront about the cost and such. I am just not going to jump on anything until I know what I am doing and getting into.

Thanks to everyone who posted here and shared their experiences. I think we are all going to make better-informed decisions.

BP for the win!

Robert Howell · Answer

I just spoke to Limitless funding. Im looking for a loan for a short term rental. The guy seemed ok on the zoom and asked if i had any questions. I don't always know what to ask. Anyway, i have 11 enquiries over 2 years which is apparently too many, so it would cost me $420.00 up front and a $25 investment fee, to get some removed.

Anyone go with limitless?

Dilruk Hettiarachchi · Answer

According to Patrizia Sanino, this is a scam. Because they say something and come up with some disqualifying reason and ask for money before funding. That means you have to pay them first to get a loan. That's a huge risk. We never know what comes after you pay them first. This same thing almost happened to me with a different company. So before I paid them I asked them if I wanted to come to meet in their location and they said we were on a cruise but they could do everything online. I said I'll wait until they come back. They never came back. Be careful.

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Patrizia Sanino · Answer

I had an experience with Fund & Grow where they work on the customer behalf to get approval for 0% Apr business cards

they have a PoA to work on the behalf of the Client which is totally fine - however Lender do not like that and one of the Lender - FNBO - that approved me for a Business Card with $ 15,000 at 0% Apr for 12 months - after 2 weeks sent me a letter reducing my credit limit to $ 3,000 and upon calling the Lender they told me the reason of the lowering was due to the fact they found out there was a 3rd party pulling the request of the business card.

I explained that to Limitless Funding Source and I asked - in case some like this happens - your fee is 15% to be paid within 48 hours from funding

but if I got let's say reduced $ 50,000 to $ 25,000 or lower I will know maybe after 2 weeks - and in the meantime I already pay you guys 15% of $ 50,000 which is $ 7,500 for your fee and then I have only $ 25,000 available with $ 7,500 cost which is a 30% fee - are you guys going to refund me the difference?

the answer was No.

Jonathan Perez · Answer

@Greg Kasmer Thank you for your response. Sounds like it is definitely an option I'm willing to look into. What companies have you worked with on that?

Limitless Funding Source? Unsecured loans? Pros and cons?

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