Mismanaged Our Loan. Broke Written Commitments. Now Defaulting on Settlement.
I invested $148,000 into an Investors Edge deal in January 2025, another co-investor put in the same amount in one of Investors Edge split deals that they market to the investors who fund their hard money loans. The funds were for a fix-and-flip in Atlanta which Investors Edge underwriting indicated was worth $400,000. The borrower defaulted. Here's what Investors Edge did next:
Mismanagement
They signed a memorandum of understanding with the borrower to take back the property. The MOU eliminated the borrower's personal guarantee, which eliminated our recourse. Investors Edge never told us this clause existed. When we questioned why they would eliminate the guarantee, their CTO claimed in an email they "didn't know" the MOU did that, even though the MOU was written by Investors Edge's in-house counsel.
They sat on a $25K mechanics lien for four months. Contractor warned them in April 2025. Investors Edge did not notify us, the investors, until August 2025 after they had taken the property back, and the lien was already filed.
They brought in a realtor whose recommendation was to list the property at 50% of recovery value. The co-investor and I had to intervene personally to stop the listing. Their "REO Specialist" showed extreme carelessness in returning our capital.
They admitted in writing they had made a long list of mistakes managing this loan. Their CTO promised to partner with us to maximize liquidation due to these mistakes. Three days later, after "conferring with ownership and legal," the CTO reneged entirely on that commitment.
Settlement Default
We took them to arbitration and settled in June 2026. In August and September, they missed the final payments, which total only $13,192.75 plus accrued interest.
On October 1, the CEO Ryan Wright admitted in writing that the settlement payment is overdue but stated the company lacks sufficient cash to pay. He also couldn't provide a timeline as to when they could pay.
The co-investor and I lost over a third of our initial investment. Investors Edge's underwriting was poor, their loan management was negligent, and they are indifferent to returning investor capital.
Before you give them money, or ask them to loan you capital, ask yourself if you're comfortable doing business with a company that cannot produce $13,000 to meet their legal obligations.








