Posted by Max W. on December 19, 1998 at 07:24:50:
I understand everything you are saying. However, my point is that there are not any note buying institutions that do this (buy single unseasoned notes at or above par) as a general practice.
Prepayment penalty regulations vary by state and a prepayment penalty is not necessary if they simply buy at a discount.
An institution that could offer par would get a HUGE piece of the simultaneous market and word would spread like wildfire in the broker community. If you know of such an institution PLEASE let all of us know!