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When a company sells airplanes or boats with seller-provided financing and
holds the notes generate by the sale, they are creating a portfolio that can
be sold on the Secondary Market.
These portfolios are sold as a pool and are graded according to the credit scores of the purchasers as well as the type of equipment making up the portfolio. When selling portfolios, the creditworthiness of the holder of the portfolio also comes into play because the seller may have to provide warranties and representations to the funding source due to the scrutiny of the underwriting guidelines used in issuing the notes.
The importance of the underwriting lies in the fact the portfolio may be securitized and then sold on the Primary and Secondary Markets.
The remaining interest in the notes that the seller has can only be sold for the entire residual value of the notes, i. e., the entire remaining cash flows (purchaser’s payments).
In order for use to price the portfolio, please provide the following information in Excel spreadsheet form:
Name and address of the purchaser/borrower and borrower's FEIN or social security number.
Credit score of the purchaser.
Make, year, and model of the vehicle.
Serial Number of vehicle..
Country of State of registry.
Interest rate of the note.
Original amount of the note.
Remaining principal balance of the note.
Frequency of payment (annually, semiannually, quarterly, monthly).
Original number of payments.
Amount of each periodic payment.
Number of payments made to date.
Number of payments remaining.
Date of the first payment made.
Date of the last payment made.
Whether the account is current or has been sent out for collections
For more information contact Capital Funding of America at 1-800-322-5985 or use this link to our CONTACT US page.
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