The Money Mustache Community
Learning, Sharing, and Teaching => Ask a Mustachian => Topic started by: KarefulKactus15 on June 30, 2016, 01:42:27 PM
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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.
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You're worried about standing around a police station holding cash? :)
What does everyone else do?
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That's what I was wondering. But it is a pretty secure location. And I'm really not known for losing stuff.
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Don't the US police revel in civil forfeiture? Standing around the station with bundles of cash would make you ripe for the picking.
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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.
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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.
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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.