Referring Judgments and Make Money

For anyone who is exposed to judgment leads in their hobby or line of work, selling judgment leads can bring current and future income.

Most judgment enforcers eventually learn its best to enforce judgments local to them. Most turn down judgments not local to them unless the judgment amount is big and the debtor has a lot of assets showing.

More and more judgment enforcers are learning to refer judgment leads instead of turning them down. When someone calls about a small claims judgment in another state, the experienced judgment enforcer thinks, "how can I help this person - even though I won't be enforcing the judgment?".

The answer is to refer the judgment to a judgment broker who can both help the judgment owner and pay the judgment enforcer for their lead.

Someone learning the judgment recovery business can make money referring judgment leads until they find an ideal judgment for them to enforce - simple ones where the debtor's assets are in the same city as the judgment enforcer.

Nobody can predict what a judgment is worth until it is sucessfully enforced. Hence, the best way to sell judgment leads is on a future-pay basis. A Judgment broker usually pays five percent of the net profit of enforcing the judgment.

Selling raw leads is not very profitable. This is because the debtors might have filed for bankruptcy, or either the debtor or creditor might not be found. Also, the judgment owner might not be interested in having their judgment enforced. This does not makes sense to most people.

There are three qualities of "best judgment leads":

A) The best judgment leads are those where the creditor contacted a judgment enforcer, or where you have contacted the creditor and confirmed they wish their judgment to be enforced.

B) The best judgment leads are those where the debtors have been screened to make sure they have assets such as jobs, property, income sources, or bank accounts - and have not filed for bankruptcy.

C) The best judgment leads are those more than two years old, and that are at least two years away form their expiration date.

Judgments less than two years old may have creditors that have not smelled the coffee yet. Some think magical thinking will get their judgments paid - or that the debtor who has lied to them before the judgment will tell the truth after the judgment and pay.

The estimated quality of a judgment lead is based on factors like those above. Like selling a judgment for cash up front, selling judgment leads for cash upfront is done at a steep discount.

The cash paid for selling a lead upfront ranges from 25 cents to $20. This depends on the quality of the lead and the market. A broker pays a percentage of the future enforced total. They typically pay five percent of the net profit from enforcement, which is almost always more than $20.

The market is full of opportunity for making money referring judgments leads. A reputable judgment broker will increase your profits by paying you 5% of the profit after the judgment is recovered.