Sunday, August 22, 2010

Do You Really Want Us to Send the Check to the Client's Home?

So once the funding deal is reviewed, approved and the contract is signed, it is time to issue the funds ($). There are basically three ways to fund a deal:(we can wire funds in an emergency).
!. Client comes to us and picks up the check in person;
2. We overnight the check to the attorney's office(usually the safest) or
3. We overnight the check to the client's residence . While this appears to be the most hassle-free method (less time dealing with client); at the end of the day , sending the check dierectly to the client can turn into a nightmarish experience. The problems include:
i. Wrong address is given to Federal Express;
ii. No apartment # is listed on the airbill;
iii. Client is not home when the overnight courier arrives;
iv. The building is a multiple dwelling (without a doorman) and courier cannot get access to the apartment, etc........
So what happens? After 20 calls and emails back and forth , a stop-payment is placed on the check, and it is re-issued and overnighted to the attorney. That is why my advice is always to send the funds to the attorney, unless you are 1000% sure the client's address is good and client will be home waiting. I like to also get the client and attorney the tracking # also, so they can monitor the delivery.
Moral of the story; Better to be safe than sorry!

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