Proof of Funds has a couple of meanings -
1. Real Estate - We could say the first meaning would refer to a qualified buyer showing that he or she has funds available to make a home purchase. The buyer is required to verify to a lending group that he/she has enough funds to make the down payment on a home or some type of asset.
This letter or document would demonstrates that the person has the ability and funds available to use for a particular purchase transaction. It usually comes in the form of a bank, security or custody statement. The purpose of the written statement is to ensure that the funds required for a transaction is obtainable and legitimate.
2. Proof of Funds - is also used by clients that are entering a Trading Platform, whereby the trader is eligible to trade securities. The Proof of Funds would be evidence that there is money to trade. Proof of funds can be your own, leased or borrowed. Regardless of how you get the funds you will have to provide a history or origin of the funds for at least 2- 3 years previously to meet the laws of the Patriot Act Law.
In addition, It may be necessary to show proof of funds first before you are even eligible to speak with a broker, the trader or enter a trading platform before you are offered trading platform compliance documents.
If you are trying to get into a trading platform be sure before you purchase Proof of Funds for platforms or real estate transactions or offer your proof of funds as evidence that you have money to trade, ask the agent, broker or platform manager what is the process of the transaction. You will save yourself a lot of headaches or financial losses in the future.
Individuals can purchase or lease proof of funds on a short term or long term basis's on paper if necessary, Need to show proof of funds to get corporate credit. Minimum 30 days. Funds are deposited in a bank account in your name and funds are verifiable.
There is no credit score and no credit check needed! Verification of Deposits are called VOD's. The funds are only for verification purpose only. Providers for proof of funds can provide as little as $10,000 up to $10,000,000 and more depending on the supplier for the Proof of Funds. Charges for the service range from 4-15% for 30 days. You can lease for longer terms as well. Great opportunity if for the right project!
Author
Wm Cole Smith
Entrepreneur, Visionary, Speaker, Author
Business Credit Expert - [http://www.corporatecreditebook.com] - Or - http://www.eloc.com Since 1984
Corporate Credit expert ... Entrepreneur/business owner for over 20 years. I have owned many different corporations for a variety of reasons building corporate credit & business financing to achieve short and long term goals. As a Dun & Bradstreet senior analyst I learned valuable lessons that most think are Big secrets. CorproateCreditEbook.com "Knowledge is Power" I built this site to coach other business owners to leverage their corporation for establishing business credit. ELOC.com will provide you with more information regarding Equity Lines Of Credit on a variety Equity related opportunities Corporate Credit, Home Equity Line Of Credit, Commercial Equity Line Of Credit
Article Source: http://EzineArticles.com/?expert=Wm_Cole_Smith
