What is the acceptable method of payment for the Bumble Roofing promissory note?
Bumble_Roofing Franchise · 2025 FDDAnswer from 2025 FDD Document
er annum.
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- On the [PAYMENT DATE], and on the [DAY/DATE OF MONTH] of each and every [WEEK/MONTH] thereafter, the sum of [$AMOUNT] will be due and payable in full.
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- On the [DATE OF FINAL PAYMENT], the then entire outstanding principal and interest balances owing under this Note, if not sooner paid, will be due and payable in full.
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- All payments shall be made by preauthorized Automated Clearinghouse transactions ("ACH") or by such other reasonable method as holder directs at a bank specified by maker in writing to the holder as specified above.
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- Any payment is late if not received by holder within 10 days after it is due. If a payment is late, holder may, in its sole discretion elect to;
- A. Declare the entire unpaid principal and interest balances immediately due and payable; or
- B. Accept the late payment along with a late charge in the amount of 10% of the amount of the late payment. The late charge will be for the purpose of compensating holder for additional expenses which it is recognized that holder will incur as a result of the late payment.
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Source: Item 23 — RECEIPT (FDD pages 53–188)
What This Means (2025 FDD)
According to the 2025 Bumble Roofing Franchise Disclosure Document, payments for the promissory note must be made through preauthorized Automated Clearinghouse (ACH) transactions. However, Bumble Roofing may also direct franchisees to use another reasonable payment method. The franchisee must specify in writing to Bumble Roofing the bank from which payments will be made.
If a payment is not received within 10 days of the due date, it is considered late. In the event of a late payment, Bumble Roofing has the option to either declare the entire unpaid balance immediately due or accept the late payment along with a late charge. The late charge will be 10% of the amount of the late payment.
All payments received are first applied to any late charges, then to outstanding interest, and finally to the outstanding principal balance. This order of application ensures that any penalties and interest are covered before reducing the principal amount of the note.