7 Reasons Judgments Do Not Sell

This article is my opinion and is not, a legal opinion. I am a judgment solutions expert, and not an attorney. If you ever need legal advice or a strategy to use, please contact an attorney.

Which request (as percentages of the judgment's face value) for a quick cash up-front judgment purchase selling price sounds the most reasonable? 3%, 6%, 8%, 12%, 25%, 33%, 50%, or 85%? I have seen it all, along with those specific requested percentages. I also get some "I am firm on a minimum selling price for selling my judgment of X" requests. The answer to every one of these amount and percentage quote requests is always; not one of these are correct. Any cash upfront sale price actually paid for a judgment consistently depends only on the available assets of your debtor.

I know the best judgment buyers around the country, so I know very well, that the amount of a judgment does not mean anything. I have seen a 10 million judgment sold for $600.00, and a ten thousand judgment sold for $3,000. This is because cash up-front prices are based only on your debtor.

Cash up-front judgment sales are most often for tiny percentages of the judgment's listed amount. Most people do not believe that, and waste lots of frustrating years trying to prove me wrong; and then most never even get a dime trying to sell their judgment.

One thing that helps to fuel false hope with judgment owners are websites which brag (e.g.) "fifty percent Cash Up-front paid for a judgment". Such websites are a waste of time and effort for 99% of judgment owners. Anyone that quotes you some sale price (above very few cents per dollar) for your judgment before they perform due-diligence on the debtor, isn't qualified or able to really purchase your judgment.

If your debtor is wealthy and hasn't hidden all their assets, you can get your judgment sold for lots of cash. If that is not the situation, it is going to sell for very few cents on the buck; and perhaps you might think about trying to look for a contingency judgment recovery professional.

With a future pay collection option, you pay nothing, usually keep ownership of your judgment; and then get paid most of what might be recovered in time. Future-payment is most often a judgment owner's only chance for collecting some money on the judgment.

A judgment isn't the same as cash, and even a judgment with the debtor being a big profitable banking chain cannot get used for collateral on a loan. These are the top seven reasons most judgments do not sell for a lot of money upfront:

1) When the judgment debtor goes bankrupt, most judgments will be worthless.

2) When the judgment debtor is broke, old, in jail, sick, died, is living on the street, or having no available assets; there is not any real judgment buyers who will pay above around 1% cash upfront.

3) With a really big judgment, another potential problem can be, even if it is a judgment with the debtor being a bank; the majority of judgment buyers are not wealthy. For example, around 3 months ago, some judgment I received where the debtor was some huge successful bank, and was for ten million dollars. Most of the time, 10 million judgments against banks are not real, most often just cases of people having just UCC liens.

Although that 10 million judgment is probably the best judgment one could have; a default judgment having a motion to vacate the judgment already have been denied; and even though the judgment may very well be worth much more than ten percent cash up-front; it is rare that judgment buyers can afford to write a check one million bucks.

This "fortunate" judgment owner was expecting to get payment immediately. He insisted on getting three and a half million cash up-front as soon as possible, and was shocked because I could not get him a buyer to pay that amount the same day. I told him about future payment recovery; which most likely would have gotten him paid millions in only a few months. He said no way that, and he has been searching for a three and a half million cash up-front judgment buyer for about three months (and counting) without getting a penny yet.

4) It takes money and time to attempt to collect a judgment, and nothing can be guaranteed.

5) Sheriffs and Courts have been downsizing their civil departments, and are putting a reduced priority on judgment recovery proceedings.

6) In our current economy, the majority of debtors are poor. When our economy remains down, so do cash upfront judgment sale prices.

7) When your judgment is by default, the judgment might be challenged and set aside.

Although the majority of judgment creditors don't believe me, it is a complete waste of time and effort to demand a predetermined sales price for any judgment. Real buyers determine pricing for themselves, based only on the debtor's circumstance. The amount you want doesn't mean anything, neither does who you discuss your judgment with.

Judgment collection is a recovery attempt, this means to recover or collect your judgment. Judgment buyers can help you with your judgment recovery efforts. Mark D. Shapiro of http://www.JudgmentBuy.com - Your easiest and fastest free way to find the best expert to recover or buy any judgment.

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