[Cfairbank]

Carl,

They see you as "difficult" because of the tighter underwriting guidelines( and fewer approvals ) because you are A "plus"paper. Not the difficulty of sending the application

The benefit of doing business with your company and companies like yours is getting the A-plus paper great rates and safety of knowing you are not being backdoored.

This was the original point I was trying to address — and I'll say it again: we do not ONLY fund A+ paper or "low risk" paper as viewed through the eyes of a broker. You are right, the product our ISO’s, who don’t do much volume with us and, therefore, don't look for the the characteristics that allow us to "de-risk" a customer, only see us as an A+ shop. But we do leverage multiple de-risking strategies that may be completely irrelevant to standard MCA underwriting, but allow us to take a customer you view high risk (B or C) be able to make that customer a "near prime" risk and approve with A-paper pricing. But we don’t just offer “one” product, and through our hybrid product, for example, we can fund a credit profile many would view as high risk, but we have structured the product in such a way that we are de-risking our position sufficiently to provide better rates and an optimized financing structure than they could get elsewhere.

Fishing in the wrong pond

Agreed, brokers are not, nor should they be, our primary source or focus for client acquisition. But our top brokers are fantastic partners and we have no plans to stop funding with brokers.

And again for those who didn't see ( standard applications with no company name on it= more chances for backdooring.)That application will be passed around like candy to kids at a carnival, everyone claiming its theirs...I've seen applications where it was clear that someone chopped off the top of the application and photoshop their company name on it or just patched together photocopied it).

Who said standard app?? Use any app you want and name the fields whatever you want and place them wherever you want on the app. Ultimately, as long a human can decipher something and that something isn't a complete, one-time outlier, a computer, leveraging so many more datapoints, can do it and do it better... and better and better with each accurate result. While I won't get into our internal methodologies, google search for a simple ML diagram and you should be able to see at a very high level how a full feedback loop works and why it is so powerful... and why humans don't stand a chance of beating it.