What is the liability in holding a note?

[Martha Daisley]

Hello
For any real estate attorneys in the group. What is the liability in holding a note?

I am getting ready to start buying notes from a private lending company. The notes are all backed by investment properties and the borrowers are all investors. The third party private lending company would be servicing these notes on my behalf and doing all the paperwork. They have an attorney on staff that oversees everything. I would have no contact with the borrower.Im just starting with one note. So what would be my liability in holding the note? Im asking because im trying to decide if to hold the note in an LLC (for liability protection) or if to just hold it personally. My tax accountant is advising me to just hold the note personally because its less paperwork and theres no liability involved since the third party company is handling everything. Just want to make sure if this is correct.

thanks!

Martha