Frequently Asked Questions for Banks

Who is behind CNB and what is their track record?

Commercial Note Brokers is the dba of Note Solutions LLC, a Colorado based LLC whose principals and managers have over 50 years combined experience in managing, selling, purchasing, and brokering financial assets and utilizing their proprietary knowledge online to reach the maximum possible audience.

How long will the note sale process take?

How long it takes to sell a particular note will depend upon the price the note is offered at and whether all the info that a potential buyer needs to perform their due diligence has been uploaded into our system. Generally, you should see a completed sale within 90 days.

Who is responsible for uploading data?

Banks are responsible for uploading their note data into our secured site.

How is the data secured on the website?

Each bank is given a unique password that only allows access to the banks account. Similarly, each pre-screened potential buyer also has a unique password that allows him or herself to search our database for detailed information.

How are potential buyers screened?

All of the potential buyer's information is manually reviewed by the CNB team. Potential buyers need to meet certain financial criteria as well as disclosure criteria in order to view detailed note information. Additionally, any potential buyers must agree to and digitally sign a confidentiality agreement prior to viewing note information.

How is the identity of the Borrower protected on the website?

The borrower’s information is not disclosed until the potential buyer has been screened by CNB and the buyer has signed a non disclosure agreement.

What information will the buyer need in order to validate the note?

Typically, a buyer will need the summary information that is in the banks credit file in order to perform their due diligence and make their best offer to the bank.

What due diligence period will be required?

Each buyer will have different due diligence periods, but many of these buyers are specialists in distressed debt, workout financing, or other very narrow fields and can make quick decisions when they find a note or property that meets their criteria. The more information that we can provide to the buyer online, the faster any due diligence period will be.

How much can the bank realize from the sale of these debts?

The bank will realize all of the net proceeds from the note sale. Typically the bank will realize about twice the value being offered from the ‘pool investors’ or so-called 'sharks' that offer to purchase asset pools from the banks.

What is the closing procedure?

The closing procedure can be dictated by the bank as long as it is agreeable to the buyer.

What liability does the bank have once the note is transferred?

NONE

How does this differ from an auction?

In an auction, only people who are aware of the auction and are not intimidated by the process will or can bid. When advertising notes for sale to a select groups of buyers, the exposure is many times greater and thus the price garnered is higher and the note is sold faster.