Author Topic: Irrevocable letter of credit?  (Read 1895 times)

Kroaler

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Irrevocable letter of credit?
« on: June 30, 2016, 01:42:27 PM »
Does anyone know how to get one?  My local courthouse only accepts 2 kinds of payments for the sheriff sale good faith deposit.
Cash or you have to have a "notorized irrevocable letter of credit".

So, it doesn't seem smart to carry 5-10k $ in cash in 100$ bills.  But I called my bank (bank of America) and they said they don't do the letters of credit, and to their knowledge no bank does any more.

So again, am I overreacting by thinking it's stupid to carry thousands of dollars in cash to the foreclosure auction?

Thoughts/opinions/ideas?      I called to clarify about cashiers checks,. NOT accepted.   Cash only.
 

biglawinvestor

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Re: Irrevocable letter of credit?
« Reply #1 on: June 30, 2016, 01:46:19 PM »
You're worried about standing around a police station holding cash? :)

What does everyone else do?

Kroaler

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Re: Irrevocable letter of credit?
« Reply #2 on: June 30, 2016, 01:49:35 PM »
That's what I was wondering.   But it is a pretty secure location. And I'm really not known for losing stuff. 

Friar

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Re: Irrevocable letter of credit?
« Reply #3 on: July 01, 2016, 12:20:42 PM »
Don't the US police revel in civil forfeiture? Standing around the station with bundles of cash would make you ripe for the picking.

Gronnie

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Re: Irrevocable letter of credit?
« Reply #4 on: July 01, 2016, 08:52:32 PM »
I play poker as a side hustle. Trust me, $10k in cash fits in a pocket no problem and nobody will have any clue you even have it.

slugsworth

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Re: Irrevocable letter of credit?
« Reply #5 on: July 01, 2016, 09:48:37 PM »
If you've got a business relationship with a local/regional bank you shouldn't have a hard time getting a irrevocable letter of credit (basically a bond). They are used regularly to bond for improvements required by cities when they require a builder to pave a road or something similar. They are not as exotic as BofA told you.

That being said, they cost money. I would carry the cash and save the money and hassle of getting the bond.

Rural

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Re: Irrevocable letter of credit?
« Reply #6 on: July 02, 2016, 10:23:15 AM »
Our local bank handed me one for a farm equipment auction a few years back. It was not an unusual thing for them. It was for less money than we had on deposit, but they offered it for more - we just weren't willing to spend it.


Check other banks, in other words. If you don't have a relationship with them, be willing to put as much in that bank as the letter of credit, and  maybe leave it a while. Maybe check credit unions, as well.