Nationwide Note Specialists!

Frequently Asked Questions

1. What is a note?

A note, also referred to as a "promissory note" or "note payable", is a contract detailing the terms of a promise by one party (the payor) to pay a sum of money to the other (the payee). The terms of a note typically include the principal amount, the interest rate, if any, and the maturity date (due date). There may be provisions about the payee's rights in the event of a default, which may include foreclosure of the payor's interest. Demand promissory notes are notes that do not carry a specific maturity date, but are due on demand of the note holder. Usually the lender(payee) will only give the borrower(payor) a few days notice before the payment is due.

A promissory note differs from an IOU in that the latter is a simple acknowledgement of the existence of a debt owed, whereas a note (promissory note), as its name implies, contains an affirmative undertaking to pay the amount stated.

In the United States, a promissory note that meets certain conditions is a negotiable instrument governed by Article 3 of the Uniform Commercial Code. Negotiable promissory notes are used extensively in combination with mortgages in the financing of real estate transactions. Other uses of promissory notes include the capitalization of corporate finances through the issuance and transfer of commercial paper.

2. What if I want CASH NOW rather than payments over many years?

That's where Hot Paper Money can assist you. Notes Specialists at Hot Paper Money works with a network of investors who are interested in purchasing notes of all types (your note) from noteholders like you. Hot Paper Money can help you receive CASH NOW! A nice benefit is that you will no longer need to worry or deal with late payments or non-payment.

3. Who invests in notes?

Thousands of individuals and companies of all sizes invest in notes. The vast majority of note holders are banks, financial institutions (lenders) and pension funds because promissory notes are considered to be safe and secure investments. An important advantage of investing in notes is that the yield is always a known -- you can't get that from investing in the stock market!

4. How much is this going to cost me?

There is no charge for Hot Paper Money to assess your note. Click here to request a free Quote. A representative of Hot Paper Money will contact you promptly. In most cases, Hot Paper Money can have an investor ready to purchase your note in just a few days!

5. How long will it take before I get my money?

Average time after finding an investor to closing is 2 to 3 weeks. In most cases, this timing is left up to the investor(buyer) and note holder(seller) to arrange. There may be information about the note to be verified before the investor will arrange for a closing. Depending on the details of the note and the requirements of the investor, the time to closing can vary. Complete and accurate information on the Quote Form will generally result in shorter times to closing.

6. What is the process?

Hot Paper Money will find an investor or investor(s) for your note. As soon as a potential investor has been found, Hot Paper Money will ask you to execute (sign) a "Non-Circumvent Agreement". Hot Paper Money will send this document to you and upon the return of the completed and signed document, Hot Paper Money will arrange for direct communication between the Investor(buyer) and the Note Holder (seller-you).

7. What is the role of Hot Paper Money?

Hot Paper Money is NOT an agent for the buyer and Hot Paper Money is NOT an agent for the seller. In fact, Hot Paper Money has no fiduciary role or responsibility in the transaction. What Hot Paper Money does is assist sellers to find buyers and assist buyers to find sellers. For this service, Hot Paper Money is paid a small commission at closing by the investor.

If you have any other questions, please feel free to contact us. A member of the Hot Paper Money™ staff will be happy to help you.

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