How to get Your Banker to say Yes, for a Loan or Collateral backed by Verdult Art.

We receive many emails and calls from people explaining that they want to use a Verdult painting for collateral but they are having problems.

Once we ask some basic questions, we find out the problem. Most people seeking to use their art for collateral for whatever reason fail to do their home work and are not knowledgeable about the asset that they do have. This lack of knowledge severely reduces the chances of receiving any sort of serious consideration in using their art for collateral.

Why? Most assume that art is like other major asset classes, stocks, bonds, real estate, and cash and that its value is fully transparent. In other words, though art is swiftly moving toward total acceptance and there have been many studies on this point, art is not there yet. Art by Rembrandt, Picasso, and Warhol are virtually transparent and easily tradable, most art is not.

What should you do if you want to use Verdult art as collateral? Take these steps.

1) Make sure you have the proper basic documents.

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