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FAQs Lawsuit Financing Q. What is the interest on the loan? A. We are not issuing a loan and we don’t charge interest. We give cash advances, not loans. Also, we need to clarify that we don’t charge an interest rate, as that’s what loans charge. We charge a risk fee based on the risks involved in the cash-advance business. Q. What are the fees on the advance? A. On any advance less than $2,000.00, we charge $300 in fees (plus a broker’s fee of either 10% or 15% of the advance) and we work on a 5.99% compounded monthly rate. On any advance $2,000.00 or more, we charge $500 in fees (plus a broker’s fee of either 10% or 15% of the advance) and we work on a 4.99% compounded monthly rate. So either way, what we would get paid back depends on the length of time it takes the case to settle. Also, know that any advance we give has a six-month minimum, meaning if we get paid back any time during the first six months after the advance, we get the six-month equivalent. To breakdown what the one-time fees on a <$2000 advance are: $200 is the application fee, and $100 is the attorney review fee. The processing fee is waived. On $2000 and above, the fees are the same, and there’s an added $200 processing fee (which constitutes the total $500 fee). Q. How long does the whole process take? A. That depends on the client and the attorney. We need the client’s authorization to speak to the attorney, and we need the attorney to send us documents and speak to us on the phone. If the client is on the ball and get us what we need, they can have money within a few days. Q. Is this legal and ethical? A. Yes, we have ethics opinions in most states that state that what our Funding Sources do is ethical. In most states, the courts have determined that the business is legal. Q. Are there any up-front costs to me? A. No. You don’t pay anything for trying the process, and are under no obligation until the agreement is signed. Even the general fees aren’t enacted until the agreement is signed, and we don’t get paid those fees unless and until the case settles. Q. Does my credit affect my ability to get a cash advance? A. No. We only use the case as a collateral and not your previous credit. If you lose the case, we lose our money. Q. How do I get the money? A. We normally Federal Express a check for 3-day delivery. Q. Do you do wire transfers? A. No. Q. Where can I cash my check? A. If you do not have your own checking account, you can cash a check at most check cashing places. They will call us to verify the check and to check that the funds are good. At any of these places, make sure to carry a valid photo ID. FAQs Mortgage Notes & Simultaneous Closing Q. Why should I sell my mortgage note / income stream? A. If you enjoy receiving your periodic payments and do not need cash, then you probably do not want or need to sell your note. But what if you are in need of immediate cash? Many people find themselves in a situation where a lump-sum of cash is either required or highly desirable . . . to pay off bills, debts, taxes, divorce settlements; to start a new business, invest in a new project, or pay for college; to buy a new house or take a special vacation. Those who understand the present value of money may have many reasons to sell . . . and more and more people are choosing to take cash rather than wait for future payments. The only way some people can sell their property, or get their asking price, is to provide all or some owner financing. If structured properly, their brand new note can be sold / transferred at closing so they get all their cash at closing, just as if their buyer or property had qualified for traditional financing. For many FSBOs, Investors and Builders . . . THIS is becoming the strategy of choice.Q. Is selling my mortgage note / income stream legal? A. Yes! It is completely legal. Corporations and wealthy individuals have been buying and selling mortgage notes for decades. We work with a variety of Funding Sources, nationwide, who buy privately held mortgage notes. Funds-Marts will help you find the funding source that will pay you the maximum for your note / income stream.Q. Is selling my note like getting a loan? A. No! This is definitely not a loan. You would, in fact, be selling the entire note (or a portion of it) and there is no recourse to you for any reason. Q. What happens if the mortgage payer defaults or is late making payments? A. Since this is not a loan, the funding source assumes all risk for the entire note or that portion of the note you sell to them. You have absolutely no responsibility or liability.Q. What costs or fees would I, the seller, have? A. In many cases, None! Depending on the marketability of the note, most costs, including any legal fees, are paid by Funds-Marts or the funding source. There may be no out-of-pocket costs to the mortgage seller, other than providing a title policy and current appraisal. The amount accepted by you, for your note, is the actual cash amount you will receive at closing.Q. How long does it take to do the deal and receive the lump-sum cash? A. The whole process is very simple and straight forward and once all the necessary documents have been examined, prepared, signed and are in place, the transaction is concluded. This usually takes between two to three weeks, sometimes, even faster. On the day of closing, the funding source, through the title company, will provide your lump-sum payment directly to you, per your instructions to them. Q. Will this also work with brand new notes? A. Yes! This is known as "Simultaneous Closing" and is one of the fastest ways to sell a property and still get all your cash at closing! To learn more about this approach to selling your property, review the appropriate link on this web site and contact us to discuss your needs.Q. Should I talk to my Attorney or CPA? A. Yes! You should talk to anyone you feel comfortable with, including your CPA, Tax Advisor, Banker, and Attorney. Feel free to have them contact us if they have any questions or concerns.
Links! Links!! Links!!! E-mail us to add your Link -Freesearching.com -B2Btoday.com -
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