Category: payday loan

Buy Notes – Knowing Your Borrower

Posted on by TBH

Buy Notes – Do You Know Your Borrower? I just got off the phone with the Sr. Vice President of a California bank in charge of note sales, and a note broker friend of mine who set up the call. The bank had 3 defaulted mortgages which were commercial loans based in the Los Angeles area.

How to Buy Notes…communicate with your borrower

Hear me out…

Buy Notes – Knowing Your BorrowerThe bank told me that one of the loans was in foreclosure and had a sale scheduled in a couple of weeks. The bank had not been in contact with the builder/developer (borrower). I asked her if she was worried about possible problems when taking over the properties through foreclosure. And if she had any other concerns regarding the loans.
She answered: “No, because we feel the value of the properties is sufficient to pay off our loan.”

My Concerns With Buy Notes Situation

The most important thing that I have learned is that building the relationship with your borrower is key. This is probably one of the most important concepts in the note buying business. Manage your relationships.

And if you don’t work with your borrower, then you’re really hurting your chances of getting out of a note deal.

This is why…

There are essentially 5 Buying Notes Exit Strategies for all Payday Loans:

reperformance, refinance, short sale or deed-in-lieu, refinance, note sale, foreclosure.

Only 2 of those plays, foreclosure and note sale, can succeed without any communication at all with the borrower.

In this example, the bank has chosen foreclosure as the exit. But the time it could take to recover the property can easily be postponed, if the borrowers file for bankruptcy. This is one of the risks associatied with foreclosures.

Buying Notes – My Advice

When buying notes, you can earn terrific returns without having the either sell the note or foreclose on the property.

And if this is true, then not maintaining contact with your borrower will jeopordize 60% of your note buying exits. (3 of the 5)

Would a seasoned golfer get onto a golf course with only 5 out of their 12 clubs?

Would that be somewhat limiting to their game?

I’m pretty sure of it.

It sure would be entertaining watching him hit a putt with a 9-iron.

I know it can be painful, but working with your borrower is essential in the note buying business.

This is the same advice that I shared with the LA bank today.

Will they take my advice? I am going to be tracking her discounted notes to see if any of them end up in bankruptcy court.

All you have to know about the payday loans in Florida, U.S.

Posted on by TBH

Here you go for the complete details. There is no verification of documents and credentials from the applicant when it comes to Florida payday loans. You get loans despite your bad credit profile. They do not ask you for warranty and witness or reference or introducer. These are meant for those middle class and lower class segments in special as they are sometimes in need of urgent money to meet out their emergency needs in their budgeted lifecycle. It could prove them far more costly in case of any delay in getting things accomplished with the money what they obtain from pay-day loans.

You can get the money in your bank well within hours. Sometimes even in just one hour with some of those providers whereas in conventional loans facilities from the banks you have to wait longer. Sometimes they take even further more time where there are all chances of losing business due to the non-availability of money in time. It happens in majority of the circumstances in the case of applying for conventional types of loans, which is an irritating aspect. On the contrary, quick loan transfers your money in just a few hours. All you have to do is to find loan till payday online provider from the internet. Find the online application page in the website and start to fill up the columns such as the name, address and simple details inclusive of your credit profile account numbers sometimes. Do not worry about that and just click the submit button and send it to wait for their reply.

Watch your messages keenly from your mobile could soon alert you on the money received on to your account. All of this happened while you would watching a show or movie in the television in the very comfort of your home. This is the great advantage of the online applications of the payday loans. The software meant especially for this purpose of processing the applications of him payday loans aspirants is installed in the websites of the financial institutions. You could get guidance and prompting tools as well to show you what are the optional requirement and what is mandatory. In case of filling the application wrong ways, it is just corrected immediately to let you know of your particular mistake.

This ways you do not have to submit an application and receive it the next day or the other as rejected ones. Whole heap of time and efforts are wasted in that conventional pattern of approaches. The rates of interests of the pay-day loans are very higher. This is due to the enormous amount of risk the provider holds on shelling out money to the individual who do no poses a great credit profile. All those bad credit profiled individuals have no other options but to rely on the payday loans for meeting out their urgent needs under majority of the circumstances. There are whole heap of people who are used to the loans and have it as their emergency resort to solve problems.

Banking & Finance