Performing Notes

A performing note is one where the payments are made on time by the borrower to the note holder as spelled out in the note. This is also called seasoning. The more the note is seasoned the higher its value on the secondary market. It gives the note buyer a history of the borrowers performance. The best way to prove the borrower has made their payments as agreed is either by using a third party servicer or by being able to produce a copy of the canceled check showing the date the payment was deposited into the note holders account.

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