Paying off a promissory note

Guest

Hi. I have a $60k promissory note as a result of a short sale. I signed the note with Radian, a PMI company, and I believe the note has been sold to Dyck-O'Neal. This is a 20 year, 0% note, payments are $250/month. I would like to pay this note off for less than the full amount and I'd like to know where to start the negotiations. I have calculated the PV of $250 for 240 months at 8%, it is about $30k. However, I suspect that Dyck-O'Neal paid much less than that for this note and I'd like to know what they will accept as fair compensation. Does anyone know how much promissory notes are typically sold for in these types of transactions? Any advice on how much I should offer would be greatly appreciated!

Niicss · Posted: Wed Jun 10, 2009 1:40 am Post subject:

Hi Lance

You are suspecting that Dyck-O'Neal has paid much less for the note. However, Dyck-O'Neal is charging you an interest rate of 8% and thus I believe that they may have purchased the note at a higher rate of interest.

It will depend upon Dyck-O'Neal as to what rates and terms they would charge you. Your payments would not depend upon the transactions between Dyck-O'Neal and Radian. At the most, you can negotiate with Dyck-O'Neal and check out if they can reduce the rate of interest or not.

The selling price of the promissory note will depend upon the buyer and the seller. I'm afraid that I won't be able to comment on that.

Thanks.

gmakerley · Posted: Thu Jun 11, 2009 9:16 am Post subject:

lance, you can certainly try to bargain with this company to reduce the overall debt. if they'll take less than face value now in lieu of continuing payments, good for you. trying to ascertain the price they paid for this note is going to be a fruitless search, i would think. i doubt there's much expertise in this area, as the situation in general is pretty much new to our world.

Guest

i owe 4ok from short sale too and Dyck will not budge. They are hard to deal with.

gmakerley · Posted: Thu Sep 10, 2009 6:43 am Post subject:

unfortunately, paula, we never got additional feedback from lance, our previous poster. so, we know nothing about how he made out in his attempts at negotiating a reduced payout.

lance, if you are out there, please let us know if you had any success...paula could use an uplifting word, i think.

dwhite33 · Joined: 03 Nov 2009 Posts: 1 1.27 Dollars($)

My promissory note was purchased by Dyck-O'Neal from BOA after I finished a short sale back in August 2009. Looking around here, I feel incredibly fortunate that my note is in the amount of 5k. It's also a 0% interest note. Given my current financial status, it's pretty easy to live with the amount and that I can just pay it off slowly in monthly installments. However, I'm going to contact Dyck-O'Neal and see if they will negotiate this -- just for the heck of it. I really doubt they'd take less on this when they will make such a small amount, and I'd think that they want to make that profit. But it's worth a phone call.

Finally, I have found Dyck-ONeal to be more disorganized than any financial company I have ever dealt with. It's a struggle to get things accomplished with them, and I'm not even disputing my debt.

gmakerley · Posted: Tue Nov 03, 2009 1:54 pm Post subject:

it is a struggle to get things accomplished with more and more companies, and (apparently) even more so in the financial industry. organization has gone the way of disorganization on a surpassing basis.

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