Note & Structured Payment FAQs
Although the information on this page applies primarily to real estate based notes,
Q: What is a note?
A: A written document that states a promise to pay, and the terms which include the amount, interest rate and length of time in which to fulfill this promise.
Q: Can I choose to be paid now for this note instead of waiting 20-30 years to be paid back?
A: That's where USA Closers comes in. We work with large groups of investors who specialize in purchasing notes (or your client’s note) from you so you can have the money you need now. In this manner you no longer have to be concerned about late or non payments.
Q: Who buys notes?
A: You would be amazed at the fact there is a market for every type of note that exist. There are thousands of individuals across the country, which buys notes. Just as banks buy mortgages, private buyers buy notes as investments. They collect payments over time for a steady stream of income.
Q: How much is this going to cost me?
A: There is never a charge or fee to you, (the note holder)
Q: How long will it take before I get my money?
A: All deals vary, but normal closing time is 2 to 4 weeks after note appraisal is complete. If you are in need of fast closing times, we can arrange an expedited closing.
Q: Why should I even consider selling my note if I'm receiving monthly payments?
A: There are numerous reasons, but here are a few worth considering:
- No more collecting the payments from your borrower
- No default, bankruptcy and foreclosure concerns
- No seizure of property for unpaid taxes and IRS liens concerns
- No stability of borrowers finances and ability to pay concerns
- No more IRS reporting concerns
- No hazard insurance lapses resulting in loss of property concerns
(make sure you are listed on your buyers insurance policy. If you are not you could lose your entire investment in a second. For more info click here)
- No more loss of value on your note due to inflation. Remember, the longer you hold on to your note, the less value your investment has
Q: Does your process include any hidden costs upon completion of my appraisal?
A: There is never any fee to you. We pay all closing cost.
Q: What funding options do you provide?
A: There are four basic types of funding:
- Full Purchase - We purchase the entire note
- Split Disbursement Partial - The purchase of a portion of each payment for a specified period of time and amount
- Partial Purchase - cash advance on partial payments
- Multiple Stage Payout - The purchase of a receivable by a guaranteed staged payout of proceeds. Future staged payments paid regardless of note performance. Ex. We purchase the full $100,000 remaining balance. The seller receives a payment of $50,000 at the time of close and another $50,000 in 60 months.
Q: Do you purchase notes other than real estate/mortgage?
A: Absolutely. In fact we buy ALL types of notes, cash flows and receivables such as:
- Business
- Mobile Home Parks
- Settlements
- Annuities
- Lottery Winnings
- Aerospace
- Automobile
- Royalties
- Health/Country Club Memberships
- Many, many more...
We are interested in ALL types of cash flow/notes!
Contact us for instructions on submitting other types of notes to us
Q: Do you have a minimum or a maximum limit to the size of the notes you will purchase?
A: No, we have no minimum or maximums; we purchase notes of any size or dollar amount. We love to purchase small notes as well as notes in the multi-million and portfolio range
Q: How do I get my money?
A: Before the close of escrow we will place a cashier’s check in a trust account with the Title Company or attorney of your choice. At the end of closing the title company will express mail the cashier’s check to you.
Q: Do you do Simultaneous Closing?
A: No, we no longer do Simultaneous Closings on new notes, we only purchase seasoned notes. The minimum seasoning period is now (3) three months. Read our...
Q: Can I sell just part of my note? Say, 1/2 of payments due?
A: Absolutely, we can arrange for partial or total/full buyout of your note.
Q: How do I know if my note qualifies?
A: Simply click on the "Get An Instant Offer” tab and we will provide you with a FREE quote for your note generally within 72 hours or less.
Q: What if I'm not ready to sell my note yet but have a few questions?
A: That’s fine. Simply e-mail us your questions and we will try to assist you in any way that we can. We have been buying notes for over a decade and will be here when you decide you need the cash.
Q: What if I don’t want to put my contact information on your site. Is there another way to contact you?
A: Sure, you may write your questions down and fax them to us @ 212-726-3287 or view our Contact Us page for a comprehensive listing of our departments.
From experience we recommend that you save our site in your “Favorites” for easy reference at a later date.
If you have additional questions or comments please don’t hesitate to fill out our Quick Reply Form or view our Contact Us page for a comprehensive list of our departments.
