Posted by Bob Eberle on December 16, 1998 at 06:32:41:
in the thread below that Bud ref. you said you “created your own” warehouse lines using private investors. How did you do this? I know where I live you can’t just put an ad in the paper looking for cash without violating banking laws.
Financing Note Purchases…? - Posted by raelynn mitchell
Posted by raelynn mitchell on December 14, 1998 at 20:26:16:
Have you heard of or done business with First Nat’l Acceptance Company of North America? They have a program they mention about a note brokers line of credit, that can be used to eventually turn a note broker into a note buying principal.
I found out about them on the Noteworthy web site and it sounded like a great idea, but am curious if they are as good as they sound (too good to be true? too many catches, maybe? I dunno!)
raelynn
First National - Posted by John Behle
Posted by John Behle on December 15, 1998 at 17:08:12:
FNAC is an excellent company. I’ve never heard a bad word about them. Fred Foote is one of the brightest people in this industry.
Re: Financing Note Purchases…? - Posted by Bud Branstetter
Posted by Bud Branstetter on December 15, 1998 at 13:24:30:
Raelynn,
There is a thread below :Funding Sources - Bud Branstetter 13:26:44 11/16/98 (4)
FNAC was charging 11% as a carrying charge. There was also an upfront fee of several thousand when you activate it. Many of the active broker use a warehouse or similar line to secure when needed and repackage in a portfolio or age as needed. The danger is defaults. They have their place depending on you activity and knowledge.