Buy Your Loan Back From the Bank

[halfnote19_IHB]

<a href="http://www.businessweek.com/magazine/content/09_62/s0902030334832.htm?campaign_id=rss_smlbz">Buy Your Loan Back From the Bank</a>



<blockquote>If you've been making payments on time and aren't in violation of any covenants, you may be able to buy your loan back for 80 cents on the dollar. If the bank has reason to believe you might run into trouble down the road, the price could be as low as 50 cents on the dollar. </blockquote>


They talk about doing this with business loans, do you think it could be done with residential?

 

[biscuitninja_IHB]

[quote author="halfnote19" date=1235802544]<a href="http://www.businessweek.com/magazine/content/09_62/s0902030334832.htm?campaign_id=rss_smlbz">Buy Your Loan Back From the Bank</a>



<blockquote>If you've been making payments on time and aren't in violation of any covenants, you may be able to buy your loan back for 80 cents on the dollar. If the bank has reason to believe you might run into trouble down the road, the price could be as low as 50 cents on the dollar. </blockquote>


They talk about doing this with business loans, do you think it could be done with residential?</blockquote>


wooo, deleting some of that credit debt!



-bix

 

[halfnote19_IHB]

I just wonder how many ppl have the cash on hand to even think about doing this.

 

[tmare_IHB]

No, I don't have an extra 300K laying around. If you did, do you think the bank would think you'd ever get into trouble?

 

[Oscar_IHB]

[quote author="halfnote19" date=1235809527]I just wonder how many ppl have the cash on hand to even think about doing this.</blockquote>
Nothing to stop a person with good enough credit from asking BofA for a $300k mortgage to pay off a $600k mortgage from Wells Fargo, is there?

 

[tmare_IHB]

[quote author="Oscar" date=1235815951][quote author="halfnote19" date=1235809527]I just wonder how many ppl have the cash on hand to even think about doing this.</blockquote>
Nothing to stop a person with good enough credit from asking BofA for a $300k mortgage to pay off a $600k mortgage from Wells Fargo, is there?</blockquote>


I'm extremely skeptical and don't have the time to check this out more. It is intriguing but I'd like to hear from anyone who wants to try it and how it goes.