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  1. #1

    Lendistry Charging Up Front Fees

    Just recently partnered with them and sent them a file. Then I find out they charge $200 upfront non refundable application fee to the borrower. That made the hair stand up on my head. Charging up front nonrefundable fees has traditionally been one of the quickest ways to unveil a fraudulent lender and also the quickest way to be shut down by bank commissioners. I checked Lendistry's BBB rating and found out its only been listed as A+ since Feb 10, 2018. That's right, its only been there for a month.

    Has anyone had an experience with Lenistry? If so please opine.

  2. #2
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    I am pretty sure they are legit.

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    Quote Originally Posted by kturner317 View Post
    Just recently partnered with them and sent them a file. Then I find out they charge $200 upfront non refundable application fee to the borrower. That made the hair stand up on my head. Charging up front nonrefundable fees has traditionally been one of the quickest ways to unveil a fraudulent lender and also the quickest way to be shut down by bank commissioners. I checked Lendistry's BBB rating and found out its only been listed as A+ since Feb 10, 2018. That's right, its only been there for a month.

    Has anyone had an experience with Lenistry? If so please opine.
    Nothing wrong with a $200 upfront fee - weeds out the tire kickers and possibly prevents the deal being shopped all over the planet.
    Dave Lambert
    FC Financial LLC
    http://www.fcbanbkcard.com
    dave@fcbankcard.com
    1-727-233-1111

  4. #4
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    I will vouch for Lendistry; they are a stand-up organization of the highest moral caliber.

    I have personal friends who work within that organization and have worked several deals with them and I can assure you they are not shady or unscrupulous in any way.

    Dave Lambert hit it on the head... it's smart to weed out the tire kickers and serial shoppers.
    Zachary Ramirez
    Free Agent

    (562) 391-7099 Direct
    zjramirez1@gmail.com

  5. #5
    Many states will snatch your lending license if you charge an upfront application fee then deny the loan. I just haven't seen that model from a major lender since the 90's.

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    If you charge upfront fees its a great way to get the FTC breathing down your neck also breaking rules on credit, they could block you from pulling credit reports in the future...pull your processing account too.
    Optimal thinking is multidisciplinary, luck is the result of design; the more skillful you become, the luckier you get.

  7. #7
    Quote Originally Posted by karen37a View Post
    if you charge upfront fees its a great way to get the ftc breathing down your neck also breaking rules on credit, they could block you from pulling credit reports in the future...pull your processing account too.
    agreed.

  8. #8
    Who else offers monthly payment business loans besides Lendistry and Funding Circle? I know Breakout does as well but they really offer a monthly payment working capital product, not a true business loan, and Funding Circle seems like they are about to go in the tank.

    Who else is out there?

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    (Ive seen and heard of many people arrested in various states. We are not regulated( its an advance not loan) but it drags you into compliance territory and the danger zone )

    one states rules

    The Florida Office of Financial Regulation was the lead investigative agency, partnering with the Volusia County Sheriff’s Office to investigate the fraud. The case is being prosecuted by the Florida Attorney General’s Office of Statewide Prosecution.

    The OFR urges consumers to be mindful of certain potential red flags when seeking a loan. If you are in the market for a loan, be wary of the following:

    Unlicensed individuals. Verify the license of the company or individual with whom you plan to do business beforehand.
    Offers of guaranteed loan approval. Legitimate lenders rarely make such representations without first qualifying an applicant.
    Unsolicited offers. Being contacted by a loan broker does not necessarily mean that you are dealing with a legitimate lender or that the loan offering itself is legitimate.
    Upfront fees. Any loan broker who insists on collecting a fee before a loan transaction closes is acting outside the law.
    The Florida OFR announced the arrests.

    “It is illegal in Florida for a loan broker to assess or collect fees in advance of a loan closing,” said Commissioner Drew J. Breakspear. “The OFR remains committed to working with our law enforcement partners to serve justice upon those who seek to prey on Floridians and illegally separate them from their hard earned dollars.”
    Optimal thinking is multidisciplinary, luck is the result of design; the more skillful you become, the luckier you get.

  10. #10
    Good info. Thanks!

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    Quote Originally Posted by kturner317 View Post
    Who else offers monthly payment business loans besides Lendistry and Funding Circle? I know Breakout does as well but they really offer a monthly payment working capital product, not a true business loan, and Funding Circle seems like they are about to go in the tank.

    Who else is out there?
    Outside of the banks, really no one large-mainstream. Some private money. But stacking has put too much risk on these types of lenders.

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    Quote Originally Posted by kturner317 View Post
    Many states will snatch your lending license if you charge an upfront application fee then deny the loan. I just haven't seen that model from a major lender since the 90's.
    I will play devil's advocate - MCA's are NOT Loans.
    Dave Lambert
    FC Financial LLC
    http://www.fcbanbkcard.com
    dave@fcbankcard.com
    1-727-233-1111

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    Quote Originally Posted by Karen37a View Post
    (Ive seen and heard of many people arrested in various states. We are not regulated( its an advance not loan) but it drags you into compliance territory and the danger zone )

    one states rules

    The Florida Office of Financial Regulation was the lead investigative agency, partnering with the Volusia County Sheriff’s Office to investigate the fraud. The case is being prosecuted by the Florida Attorney General’s Office of Statewide Prosecution.

    The OFR urges consumers to be mindful of certain potential red flags when seeking a loan. If you are in the market for a loan, be wary of the following:

    Unlicensed individuals. Verify the license of the company or individual with whom you plan to do business beforehand.
    Offers of guaranteed loan approval. Legitimate lenders rarely make such representations without first qualifying an applicant.
    Unsolicited offers. Being contacted by a loan broker does not necessarily mean that you are dealing with a legitimate lender or that the loan offering itself is legitimate.
    Upfront fees. Any loan broker who insists on collecting a fee before a loan transaction closes is acting outside the law.
    The Florida OFR announced the arrests.

    “It is illegal in Florida for a loan broker to assess or collect fees in advance of a loan closing,” said Commissioner Drew J. Breakspear. “The OFR remains committed to working with our law enforcement partners to serve justice upon those who seek to prey on Floridians and illegally separate them from their hard earned dollars.”
    Florida does not require a license for MCA and an MCA is NOT a loan.
    Dave Lambert
    FC Financial LLC
    http://www.fcbanbkcard.com
    dave@fcbankcard.com
    1-727-233-1111

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    Quote Originally Posted by kturner317 View Post
    Good info. Thanks!
    KTurner317, Are you seeking an asset based line of credit?
    Seacoast Business Funding, a division of Seacoast Bank
    Kevin Henry-VP Business Development
    Kevin.Henry@SeacoastBF.com
    561-623-1872
    www.seacoastbf.com
    Boynton Beach, FL

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    Quote Originally Posted by Yankeeman07 View Post
    Florida does not require a license for MCA and an MCA is NOT a loan.

    Yes I stated that ...but credit reports are regulated

    And you can play semantics all you like...then get pulled into court debating how advances are not loans while I sit on the sidelines making money staying out of financial regulators cross hairs ( like I did since the mid 80's...the licence record only wanted a 10 year history when I filled it out..i was on wall st since 85)

    ( please do not give me lessons on finance and regulations..i was nice on here being "Karen" blending with basement isos...but I am really Elizabeth")
    Optimal thinking is multidisciplinary, luck is the result of design; the more skillful you become, the luckier you get.

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    Quote Originally Posted by Yankeeman07 View Post
    Florida does not require a license for MCA and an MCA is NOT a loan.
    Lendistry offers loans, doofus.

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    Quote Originally Posted by WestCoastFunding View Post
    Lendistry offers loans, doofus.
    lol

    ( i secretly like west coast he makes me laugh all day)
    Optimal thinking is multidisciplinary, luck is the result of design; the more skillful you become, the luckier you get.

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    Lendistry does NOT charge an 'upfront fee'. After receiving a file and determining they wish to move forward with a term sheet, they request a small fee to do further due diligence. This is very common in the ABL world, except the fees are usually $5000 plus. If the deal closes they credit the $200 from their origination/closing fees.

    As other colleagues mentioned: if the client pays that small amount they know they have something real- not a client shopping their numbers. Actually protects advocates as well..

  19. #19
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    Quote Originally Posted by RichardGerard View Post
    Lendistry does NOT charge an 'upfront fee'. After receiving a file and determining they wish to move forward with a term sheet, they request a small fee to do further due diligence. This is very common in the ABL world, except the fees are usually $5000 plus. If the deal closes they credit the $200 from their origination/closing fees.

    As other colleagues mentioned: if the client pays that small amount they know they have something real- not a client shopping their numbers. Actually protects advocates as well..
    There you go.

    I do not do business with them. I am glad he cleared this up, I was thinking...who the hell would do this and risk all the drama,regulations and jail.

    yankee...some people get a second bedroom and advertise with an upfront fee with no intention of renting it to make their rent payment( which is also unethical and illegal) or....just close a sale
    Last edited by Karen37a; 03-13-2018 at 11:02 AM.
    Optimal thinking is multidisciplinary, luck is the result of design; the more skillful you become, the luckier you get.

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    Please if the reason was so the guy is not just shopping , they will return the money if they decline . They do it because they decline so many in underwriting and cant afford to spend so much on due diligence for everyone .

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    Quote Originally Posted by WestCoastFunding View Post
    Lendistry offers loans, doofus.
    I appreciate the DF Forum for allowing you a platform to show the world your IQ is less than the digits on your hands & toes every day. I was not making a comment on Lendistry or any other company of what they offer.

    Stating a fact - MCA's are NOT Loans and a license is not required anywhere in the country.
    Dave Lambert
    FC Financial LLC
    http://www.fcbanbkcard.com
    dave@fcbankcard.com
    1-727-233-1111

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    Quote Originally Posted by Michael I View Post
    Please if the reason was so the guy is not just shopping , they will return the money if they decline . They do it because they decline so many in underwriting and cant afford to spend so much on due diligence for everyone .
    You cant charge an upfront fee..its illegal for loans

    And you will get in trouble on mcas... non-negotiable

    Refer to what Richard said

    On my application in BIG BOLD PRINT it said NO COST NO OBLIGATION...so no yee haw broker on my team tries this crap and gets me in trouble because I own the company.

    and ill fire instantly...keep the renewals...they signed it..only reason to get terminated with me

    "egregious acts"
    Last edited by Karen37a; 03-13-2018 at 11:16 AM.
    Optimal thinking is multidisciplinary, luck is the result of design; the more skillful you become, the luckier you get.

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    Quote Originally Posted by Yankeeman07 View Post
    I appreciate the DF Forum for allowing you a platform to show the world your IQ is less than the digits on your hands & toes every day. I was not making a comment on Lendistry or any other company of what they offer.

    Stating a fact - MCA's are NOT Loans and a license is not required anywhere in the country.



    yankee i said this

    (Ive seen and heard of many people arrested in various states. We are not regulated( its an advance not loan) but it drags you into compliance territory and the danger zone )


    Then you said this
    Florida does not require a license for MCA and an MCA is NOT a loan.

    * one good thing about" print" you cant say ...i never said that, or you never said that ( even though some continually do it) like you block your eyes.


    ( now some of you jump on with the whole loan is not an advance speech.....hard to watch over and over again)

    Gl to you waving **


    ps. this is how I know that some people cant "close"...you pick up the wrong cue
    Last edited by Karen37a; 03-13-2018 at 11:33 AM.
    Optimal thinking is multidisciplinary, luck is the result of design; the more skillful you become, the luckier you get.

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    Quote Originally Posted by Yankeeman07 View Post
    I appreciate the DF Forum for allowing you a platform to show the world your IQ is less than the digits on your hands & toes every day. I was not making a comment on Lendistry or any other company of what they offer.

    Stating a fact - MCA's are NOT Loans and a license is not required anywhere in the country.
    Name:  42530248-2A93-480E-8269-9B0AD6DC8E1C.jpg
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    Hi Dave!

    It’s with a heavy heart that i inform you that the SoS lists your company as inactive. You’re a rules guy, so you’ll understand that should refrain from soliciting business until you get your shit together.
    Last edited by WestCoastFunding; 03-13-2018 at 11:45 AM.

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    ***closing eyes ***


    geezus spring hill...dave. You tried to beat up one of my cold callers on the phone once..

    Val the russian...recall?

    Then I wound up on the phone with you. smh
    Optimal thinking is multidisciplinary, luck is the result of design; the more skillful you become, the luckier you get.

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