I guess I have drawn a complete blank. Do any of your loan documents, i.e., note or security agreement have language that requires a borrower to provide financial information? Thanks

We typically prepare a loan agreement that is executed along with the note, security agreement, etc., requiring financial statement submission on some regular schedule, among other things (unique to each loan). These agreements are usually only on commercial loans.

A financial statement is usually mandatory if it is a commercial account. I have seen financial statements mandatory if the account was a large amount, or has ever been in default, etc. I feel it is usually better than not to obtain a financial statement.