Anyone see a problem with this?

[mp2277]

Collecting for my work from clients is becoming such a problem, I have started having the homeowner/purchaser sign this. Does anyone see any potential problem with this? I have yet to use it, but thought it would be a good idea.

I understand and agree that an appraisal has been ordered for me and on my behalf and will be done by XXXX Appraisal, Inc.
I understand and agree that although it may be customary for the appraisal fee of $__________ be paid at the time of the loan closing, the fee is not contingent on the closing of the loan. If my loan does not close or if the fee is not paid at the time of closing I understand and agree that it is my responsibility to pay the fee, plus any and all legal and collection fees that may be associated with the collection.
I understand and agree that according to law, the lender/client (the person or business that ordered the appraisal) is the owner of the appraisal report and the only entity authorized to use the appraisal report.
I understand and agree that although I may have been told a specific value that my home may be worth by a mortgage or real estate professional, that an appraised value may be higher or lower.
I understand and agree that a scanned or photo copy of this agreement is as valid as the original.

Name____________________________
Address:__________________________
City, State ________________________
Signature:_________________________
Date:_____________________________

 

[Lawrence R.]

Legal issues notwithstanding, as I am completely unable to render an informed legal opinion about your form...(nor are about 98% of the people here mind you)

You won't get past the door with about 50% of your homeowners...AND

About 50% of what's left will call the lender/client on the spot and they will negotiate you out of making anyone sign that paper.

The remaining 25% will sign it.

Of those, 50% won't even read it or care or abide by it.

The remaining 50%( or 12.5% if you are keeping score) will read it, sign it, and abide by it.

And those are the 12.5% of the buying public who actually SHOULD be getting a mortgage at this point.

Legally, I have no clue. Practically, i think you are basically reapportioning your headaches from the back end to the front end. Good luck

 

[stefan olafson]

Check with your local attorney! We can't and shouldn't provide opinions in matters of law, some among us can't even render an independent opinion on the value of property!

 

[Jill Kinnaird]

Prior to accepting any assignment get a written order specifically stating who the client is and what payment arrangments are acceptable. If your client has requested you obtain payment of your fee from a third party collect your fee and provide a receipt noting they are not the client and will not receive a copy of the report. If the client is responsible for the fee make certain the appraisal request specifically states payment is due upon delivery and that whomever signs the request has the authority to enter into a contract as a representative of the company. If you're having touble collecting from your clients, fire them and get new ones; make everything COD; have your clients overnight payment prior to delivery; have all clients enter into contractual obligations of late payment procedures such as % of balance charges, minimum late payment fee, etc... , set up Pay Pal accounts. If you are not incorporated, etc... Send a 10 day demand notice by return receipt mail. File a small claims action on the eleventh day. Have an attorney friend send an official looking demand notice to the president of the company along with your 'appraisal contract'. It is a very rare occassion when we have to put forth any effort for collecting 'bad debt' because we don't put up with clients who don't pay up.

 

[c w d]

Oh, are we still trying to be the ever friendly, professional and subservient service provider with our non-paying or late paying or intermittently paying clients and bill for our services?

Is this why you designed that signature form?

At what point did you not learn that no amount of "good faith" from your client or the customer is going to ensure you get paid?

Why are you trying to devise a way to hold someone that is not your client liable for the failure of your client to pay? And how does one hold someone who is not documented as your client responsible for payment of a bill that was invoiced to your client?

Why are you continuing to bill non-paying clients?

Good luck with that form. I think you're going to lose more clients than you would if you had a COD only policy. When you go COD you can expect that the number of clients you lose is directly proportional to the number of clients that fail to pay you in the first place. But, again, good luck with that form.

 

[Kevin A. Spellman]

You’re in the service business and you do not issue credit without recourse. COD is the only protection for your service, not a piece of paper. A client that does not and will not maintain a weekly or monthly business relationship does not deserve credit from a service provider.

I rather lose an assignment than do an appraisal and not get paid. It cost more money to write a check from the lender to a service provider than it would to receive a check from a property owner.

The only reason a lender, MB is asking to be billed. They have not collected an application fee and are hoping to receive payment at closing. And then possibly pay the appraiser. Credit should only be issued for a worthy lender/bank and not to a MB or AMCs.

I believe our appraisal license should state we are prohibit to issue credit.

 

[Lee Lansford]

Collecting for my work from clients is becoming such a problem...

In all seriousness...it may be time to upgrade from whom you will accept assignments.

OR...don't invoice anyone, or any entity, that you don't trust to pay you in a timely manner.

 

[The Warrior Monk]

I prefer to keep it simple.

Banks, and certain established clients (attorneys, etc.) get invoiced.

Everyone else pays up front.

 

[starmansf]

Dave,

I keep it even simpler. No billing, period.