[Winning]

They need to establish a depository capability and it's not that easy. Since funds are "backed" by the Feds, they will also need to make sure compliance is super tight. Hence the reason it is easier for the banks to do this or act as agent.

Some fintechs might have a great front end to help process, but getting someone to partner with right now is close to impossible.

And let's not forget..... the juice is not worth the squeeze.

Again... I ask why?

I don't understand a lot of the behind the scenes inter working of how this usually works.. But maybe the way it usually works is broken.

Perhaps things are about to change..

Similar to way 9/11 created the patriot act and all types of things changed.

[Kevin Henry-Seacoast]

Again... I ask why?

I don't understand a lot of the behind the scenes inter working of how this usually works.. But maybe the way it usually works is broken.

Perhaps things are about to change..

Similar to way 9/11 created the patriot act and all types of things changed.

These are essentially emergency loans that are "backed" by the FEDS and sponsored by the FEDS. That being said, they will want to insure the funds are being used for purposes intended. Having the ability to agent, principal, service the loan is one thing. You will have to have the ability to track where the funds went. Having depository capability that can track where funds are going is a must. I would not b surprised if some banks require a separate bank account be sent up just to track funds from the programs to insure funds are being used as intended.

There more to this than just deploying or acting as agent for the loans.

[Winning]

You will have to have the ability to track where the funds went. Having depository capability that can track where funds are going is a must. I would not b surprised if some banks require a separate bank account be sent up just to track funds from the programs to insure funds are being used as intended.

There more to this than just deploying or acting as agent for the loans.

Do you have a paypal account?

PayPal already have all these capabilities.. They pretty much function as a bank but they are not legally a "Bank". In my eyes, they are better than a "Bank".

For example. The PayPal charge back procedure is way better than the banks. If I suspect a fraudulent purchase or if a client is looking to get over. I would much rather have the transaction go through paypal because they have a fairer dispute resolution procedure.

[Kevin Henry-Seacoast]

Do you have a paypal account?

PayPal already have all these capabilities.. They pretty much function as a bank but they are not legally a "Bank". In my eyes, they are better than a "Bank".

For example. The PayPal charge back procedure is way better than the banks. If I suspect a fraudulent purchase or if a client is looking to get over. I would much rather have the transaction go through paypal because they have a fairer dispute resolution procedure.

Regardless....there is little to no money for anyone to make here. The juice is not worth the squeeze.

[Winning]

Regardless....there is little to no money for anyone to make here. The juice is not worth the squeeze.

Short term it may not be worth it if they are only looking at profits per initiative. But long term it may be a huge win for any company that can deliver on the PPP in a fast painless way. Just like I am here preaching the Gospel of paypal, because I have used the product and used other products and I have witnessed the goodness of Paypal vs other products.. That type of marketing is priceless..

Also keep in the back of your mind the 2008 term "To Big To Fail". Us common folks are worried about being profitable. Maybe the jokes on us.. Does being profitable really even matter when the reserve said they can print unlimited money. Perhaps a company can look at this as an opportunity to do this right and become a company that moves into a postion in the future that it gets the holy grail title of "To Big To Fail"...

They may be playing chess while we are playing checkers.. IJS...

[skideeppow]

Short term it may not be worth it if they are only looking at profits per initiative. But long term it may be a huge win for any company that can deliver on the PPP in a fast painless way. Just like I am here preaching the Gospel of paypal, because I have used the product and used other products and I have witnessed the goodness of Paypal vs other products.. That type of marketing is priceless..

I have been banking with Wells for 28 years, they hold all my money. They were worthless concerning the PPP program. They are still sending me emails stating that i can not apply because they are too backed up.

I applied with a local bank that specializes in SBA loans. They did my app on Friday. And i was declined yesterday. So at least i know i dont qualify since i am in the brokering and funding of small business loans.

Anyway my point is that the small regional bank had their **** together where as wells was worthless.

On another note i was working with a document prep company (as in selling their product) that was charging $2500 up front to prepare and submit SBA docs for the PPP, the grant and the disaster relief program. I did that for 2 days. I thought it was shady as **** an was taking advantage of people. So I stopped.

[Kevin Henry-Seacoast]

I have been banking with Wells for 28 years, they hold all my money. They were worthless concerning the PPP program. They are still sending me emails stating that i can not apply because they are too backed up.

I applied with a local bank that specializes in SBA loans. They did my app on Friday. And i was declined yesterday. So at least i know i dont qualify since i am in the brokering and funding of small business loans.

Anyway my point is that the small regional bank had their **** together where as wells was worthless.

On another note i was working with a document prep company (as in selling their product) that was charging $2500 up front to prepare and submit SBA docs for the PPP, the grant and the disaster relief program. I did that for 2 days. I thought it was shady as **** an was taking advantage of people. So I stopped.

Most brokerages, financials services companies, and even some funding sources will be denied.

[WestCoastFunding]

I have been banking with Wells for 28 years, they hold all my money. They were worthless concerning the PPP program. They are still sending me emails stating that i can not apply because they are too backed up.

I applied with a local bank that specializes in SBA loans. They did my app on Friday. And i was declined yesterday. So at least i know i dont qualify since i am in the brokering and funding of small business loans.

Anyway my point is that the small regional bank had their **** together where as wells was worthless.

On another note i was working with a document prep company (as in selling their product) that was charging $2500 up front to prepare and submit SBA docs for the PPP, the grant and the disaster relief program. I did that for 2 days. I thought it was shady as **** an was taking advantage of people. So I stopped.

The value with doc prep companies is on 7(a)s. The EIDL and PPP don’t require much help other than finding banks that will process the PPPs. But charging for PPPs may be illegal. EIDLs can be charged, but really: for what? The 7(a)s are a whole different ballgame. Doc prep matters there, along with being able to place with 7(a) lenders.

[Winning]

I have been banking with Wells for 28 years, they hold all my money. They were worthless concerning the PPP program. They are still sending me emails stating that i can not apply because they are too backed up.

I applied with a local bank that specializes in SBA loans. They did my app on Friday. And i was declined yesterday. So at least i know i dont qualify since i am in the brokering and funding of small business loans.

Anyway my point is that the small regional bank had their **** together where as wells was worthless.

Question, was your experience with Wells Fargo bad enough for you to actually decide to move your funds into the small regional bank? That is the million dollar question. Will people that discover that the way they have been doing things may not be the best way, and if so will they find it worth the effort to go a diffrent route. Will this make the customer uncomfortable enough to actually do something about it?

This situation is really shaking the bag so to speak.. It will be interesting to see how the dust settles.

Just like with your personal experience you just posted about.. This situation cracked the door open for the small regional bank you posted about. Now it is up to that Small Regional Bank to really put on a dog & pony show for you. They have try to kick the door you cracked open, wide open and some sort of way land you as a customer. There marketing and remarketing will need to be on point and firing on all cylinders to make the most of all the people just like you that is cracking the door open for them. The hard thing is that people are mostly lazy and forget things quickly.. So the marketing and retargeting get's very expensive.. Having to constantly keep reminding people that "hey your big bank wasn't there for you, we were, don't treat us like the ugly step child, look at all we have to offer you, come over here!!!" requires a good well funded marketing system.. The big FinTech companies have the money and systems to go after all the people that will be cracking that door open.. Perhaps the small regional banks don't.

The same logic can be applied to the new FinTech / Fed Relationship. Due to the situation, the Fed cracked the door open for the FinTech companies... Now the Fintech companies need to put on the best Dog & Pony Show ever for the Fed in hopes they will see the goodness in FinTech's, and susequently open the doors wide open for FinTech's.

On another note i was working with a document prep company (as in selling their product) that was charging $2500 up front to prepare and submit SBA docs for the PPP, the grant and the disaster relief program. I did that for 2 days. I thought it was shady as **** an was taking advantage of people. So I stopped.

The "Is capitalism moral?" rabbit hole...

Best stock week since 1938 at the same time 16 Million of us lost our jobs in 3 weeks.

They say an image is worth a thousand words.

[Yankeeman07]

PPP for self-employed people was launched on April 10, 2020 which was only last Friday - April 10, 2020

I would verify they applied for the correct SBA Laon program, a bit hard to grasp that the SBA has even
reviewed your application that quick.