[Winning]

Loanbuilder / Swift Capital / Swift Financial, LLC (The lender for LoanBuilder Loan is WebBank)
They just offered me.
$45000 Fund.
repay $1432.48 per 1 weekly payment for 36 weeks (9 months).
$51569.10 total Repayment ($6569.10 Cost Of Funds.).

So that boils downs to
1.14598 Effective Rate
on 45K for 9 months, 1 Weekly payments per week.

Thoughts??

[abfunders]

I can still get you 0 APR credit cards for far cheaper, effective cost to money of around 4-6% with MONTHLY 2-3% principle-only payments, and then you can decide to pay them off or keep paying interest for 20-30 years. That's a 1.04 over 1-2 years, vs a 1.15 over 9 months. And $45k is a joke... I funded a real estate startup in Baltimore with $75,000, and one of my partners once funded someone years ago with about $806,000 over 1-2 years (major fluke, but it did happen).

[Winning]

Just got a call from Loanbuilders again, asking what they can do to get me to accept the offer. I told them that I am thinking about what I want to do, and asked them, was the current offer the best and only offer? They replied with a 12 month option. Here are the details pertaining to the 12 month option they gave me..

$45000 Fund.
repay $1022.66 per 1 weekly payment for 52 weeks (12 months).
$53178.30 total Repayment ($8178.30 Cost Of Funds.).

So that boils downs to
1.181 Effective Rate
on 45K for 12 months, 1 Weekly payment per week.

[Winning]

BTW, Loanbuilders is calling this product that they are offering me a loan. So I asked him about an amortization schedule, and he said it is not one. There is no early payment discount. I then asked him what was the difference in what he is offering me and a MCA / Future Receivable Purchase. He responded that his product is a federal regulated product and he couldn't use the term Loan unless it was a loan, and that the rates he has provided me, I won't be able to find a MCA that can compete.

Question. Why do they think they can offer essentially the same product as a MCA, but MCA's can't beat them on price? Behind the scenes, the way the money moves to be declared a "LOAN" , vs "MCA" changes things in such a way MCA's can't compete with them?