Black hole perturbation theory for Kerr black holes is best studied in the Newman Penrose (NP) Formalism, in which gravitational waves are described as perturbations in the Weyl scalars ψ 0 and ψ 4 , with the governing equation being the well-known Teukolsky equation. Near infinity and near the horizon, ψ 4 is dominated by the component that corresponds to waves propagating towards the positive radial direction, while ψ 0 is dominated by the component that corresponds to waves that propagate towards the negative radial direction. Since gravitational-wave detectors measure out-going waves at infinity, research has been mainly focused on ψ 4 , leaving ψ 0 less studied. But the scenario is reversed in the near horizon region where the in-going-wave boundary condition needs to be imposed. Thus, the near horizon phenomena, e.g., tidal heating and gravitational-wave echoes from Extremely Compact Objects (ECOs), requires computing ψ 0 . In this work, we explicitly calculate the source term for the ψ 0 Teukolsky equation due to a point particle plunging into a Kerr black hole. We highlight the need to regularize the solution of the ψ 0 Teukolsky equation obtained using the usual Green's function techniques. We suggest a regularization scheme for this purpose and go on to compute the ψ 0 waveform close to a Schwarzschild horizon for two types of trajectories of the in-falling particle. We compare the ψ 0 waveform calculated directly from the Teukolsky equation with the ψ 0 waveform obtained by using the Starobinsky-Teukolsky identity on ψ 4 . We also compute the first out-going gravitational-wave echo waveform near infinity, using the near-horizon ψ 0 computed directly from the Teukolsky equation, and the Boltzmann boundary condition on the ECO surface. We show that this out-going echo is quantitatively very different (stronger) than the echo obtained using previous prescriptions that did not compute the near-horizon ψ 0 directly using the Teukolsky equation.