At my company, almost every day I get more than ten calls or emails like this: “I want to sell my judgment, and I went on a website which said they pay 75% cash up-front for judgments. I sent my judgment to them, however they have not gotten back to me. They won’t answer my telephone messages or emails. Thanks for responding so quickly. How much will you buy my judgment for?”
I carefully explain that the problem is that many folks want to believe a judgment is like cash. Also, due to what some websites claim, some folks are fooled into believing their judgments have considerable and automatic worth.
Because some web sites advertise they pay “the very most” or fifty to seventy-five percent cash up-front for judgments; who needs to take the time to read and believe another web site that says that average civil judgments sell for 1-7% cash up-front? Some judgments with wealthy debtors, can sell at much higher prices, however the majority of debtors aren’t wealthy and the majority of judgments sell for less than seven cents on the dollar cash upfront.
This article is my opinion and is not, legal advice. I am a judgment referral expert, and not an attorney. When you ever need legal advice or a strategy to use, you should retain an attorney. The amount that your judgment may be sold for, depends solely on the assets of your judgment debtor. It does not depend on what you want, the person you talk with, or which web sites you visit.
There are a minimum of three reasons that websites that offer to pay 50-75% cash upfront, hardly ever acknowledge any judgment they are sent:
1) They are lying, because they’ve not ever purchased even 35% for any judgment; and with those very few situations where they have paid anything, pay a lot less.
2) Their business plan may be to lure many judgment creditors from visiting legitimate judgment referral web sites, and then ignore every incoming judgment except those with very wealthy debtors. When the judgment debtor appears to be average or poor, they will not respond to you. When your judgment debtor seems wealthy, the amount they might pay at the most is the same as what any other real judgment purchaser would pay.
3) On the internet, anybody may say or write whatever they want. “We pay you the most for your judgment”, “We are a marketplace and will find a top-dollar cash buyer for your judgment”, “Your judgment can be sold for (50-75%) cash upfront” and “We buy all judgments” are often just lies.
To get quoted for your judgment, for cash upfront or for a future-pay contingency payment basis; you must supply a copy of the judgment and whatever you know about your debtor. There isn’t any risk in asking for a quote, because your signature notarization is required to start any judgment purchase. Anybody not requiring the copy of the judgment and info about your judgment debtor, is not qualified to recover or buy your judgment.
When an offer seems too wonderful to be true, it often is. If you have bad breath, real friends will probably discreetly tell you. Somebody who does not like you probably will not tell you. If you try to get paid for a judgment anything above than what your debtor’s situation will support; a friend will let you know that your judgment isn’t cash, and you should stop paying attention to people and websites that tell you lies.
It is better to be paid 5% cash up-front for a judgment; than to get nothing, after wasting hundreds of hours shopping it until it expires; or the judgment debtor applies for bankruptcy. Without any exception, the best chance to receive the most money for your judgment is on a future-pay contingency recovery basis. When you do not have to assign your judgment, there is no risk in having an expert attempt to recover your judgment on a future pay recovery basis.