[WestCoastFunding]

banks are being greedy when business owners need them. they want to turn a profit sure, but they wont be able to lend money if all their clients go out of business.
And yes, we have all heard not many banks are taking broker apps or paying fees, still today is the first day... stay tuned

Greedy? So the banks are supposed to hand out loans barely over prime rate, with super low reimbursement fees for underwriting, with no real guarantee the govt will reimburse the banks at 100% as originally promised, while diverting manpower to process these loans, and using capital they normally lend at much more sustainable rates?

All while we enter a financial crisis where they will face their own capital requirement tightening. And then they have to use even more resources on the backend to verify the borrower’s books and paperwork to provide the required forgiveness, to wait 60-90 days to be reimbursed from treasury?

Oh yeah, and the bank can’t even collect any payments for a year.

[fundingsmbs]

"The latest news is that there is an issue with the agreement between banks and the government regarding the buy-back provision that the government was supposed to perform. Under the initial loan program, the PPP loan was 100% guaranteed by the government, and a 100% guarantee to buy the loan back from the bank after the 4 month forgiveness period ended. However, last night’s rule changed that dynamic, eluding that the banks may not be able to sell the loans back to the government at a 100% commitment as soon as the forgiveness period arrives. The banking industry is working with the gov’t right now to resolve the issue and hope to have direction shortly.
Additionally, it appears that there may be a 3rd revision to the application. "

[Winning]

The latest new that directly and immediately affect the merchants in Dallas Texas (which I am in) is that the county judge has just extended shelter in place until May 20th!
So now it's not a if I will be closed for 3 months, it is a yes I will be closed for at least 3 months, and now the maybe shifts to 6 months!! WTF!

https://www.wfaa.com/article/news/he...2-06dd2ac783b6

[Winning]

The latest new that directly and immediately affect the merchants in Dallas Texas (which I am in) is that the county judge has just extended shelter in place until May 20th!
So now it's not a if I will be closed for 3 months, it is a yes I will be closed for at least 3 months, and now the maybe shifts to 6 months!! WTF!

https://www.wfaa.com/article/news/he...2-06dd2ac783b6

So who evaluates if a business should take the money? All money ain't good money...

Some merchants may not think through the fact that just cause they are open for business, doesn't mean there customer are immediately coming back.

So will you guys be telling your applicants to think through these things, and applying for, and getting money may not be the best thing to do.

[Don at MT]

I would like to speak with you regarding the number of loans you mentioned being processed. I am with MoneyThumb and we automatically convert PDF statements for loan processing and underwriting. They are done completely in a matter of seconds with full reconciliation and score cards. Is this something we can talk about?

Don Campbell
don@moneythumb.com
858-215-5862

[cmarks]

Greedy? So the banks are supposed to hand out loans barely over prime rate, with super low reimbursement fees for underwriting, with no real guarantee the govt will reimburse the banks at 100% as originally promised, while diverting manpower to process these loans, and using capital they normally lend at much more sustainable rates?

All while we enter a financial crisis where they will face their own capital requirement tightening. And then they have to use even more resources on the backend to verify the borrower’s books and paperwork to provide the required forgiveness, to wait 60-90 days to be reimbursed from treasury?

Oh yeah, and the bank can’t even collect any payments for a year.

whats the reimbursement fee? make that a net number after your estimated costs of underwriting(you don't even know what they are underwriting!!)
6 months deferment, not a year

[WestCoastFunding]

whats the reembursement fee? make that a net number after your estimated costs of underwriting(you dont even know what they are underwriting!!)
6 months deferment, not a year

??

The deferment is up to 1 year. Yes, we ****ing know what they are underwriting.

Seriously, the fact that you have continuously argued that the lenders aren’t originating with their own capital, but think it’s the treasury originating the loans, tells us you have no ****ing clue how this works. Yet you’re so adamant that this is such a good deal for lenders. That somehow you know something they don’t know.

Let people who navigate SBA lending on a daily basis discuss this. Stick to writing reviews about people in the MCA space.

And tell us, which lenders aren’t doing 7(a)s as you claim? Have you ever done an SBA loan before?

[cmarks]

??

The deferment is up to 1 year. Yes, we ****ing know what they are underwriting.

Seriously, the fact that you have continuously argued that the lenders aren’t originating with their own capital, but think it’s the treasury originating the loans, tells us you have no ****ing clue how this works. Yet you’re so adamant that this is such a good deal for lenders. That somehow you know something they don’t know.

Let people who navigate SBA lending on a daily basis discuss this. Stick to writing reviews about people in the MCA space.

And tell us, which lenders aren’t doing 7(a)s as you claim? Have you ever done an SBA loan before?

im not sure you can read, but i never said the lenders arent using their own capital at first. So wheres the 350 billion going buddy??
Tell us then what the banks are underwriting besides the application?? what docs are they asking for?

Well we know SmartBiz is not doing 7a and many of their banks

[golf2014]

Ifs a mess like most figured

[Guilds12]

Just talked to my contact at Lendio (I used to work there) and they are shifting all their efforts towards the PPP. Apparently they were approached by a large corporation that owns a network of banks (I thought he said Henry Jackson, but I could be wrong) because their banks don't have online portals capable of handling the volume. He said there were currently 1000 calls on hold in their phone queue waiting to apply. He isn't certain how they are going to get paid/reimbursed, but probably will only be a $50-$100 per application.

[WestCoastFunding]

im not sure you can read, but i never said the lenders arent using their own capital at first. So wheres the 350 billion going buddy??
Tell us then what the banks are underwriting besides the application?? what docs are they asking for?

Well we know SmartBiz is not doing 7a and many of their banks

SmartBiz. isn’t. a. ****ing. lender.

They don’t LEND ANY SBA PROGRAM. So, again, you said “many banks have stopped lending 7(a)s”. Name them. You can’t.

As far as docs theyre asking for, all you’re showing is that you truly have no ****ing clue what’s going on. The documents required, most banks, along with Treasury, along with many states, have released the standard lists of documents required. Literally everyone else in this forum is familiar with the lists.

As for the $350B, that is going toward PURCHASING the loans from the banks who are tying up their own funds in originating, as well as paying the banks back after the loans have forgiven.


Like I said, you have no clue what you’re talking about, but you think just making up random **** as you go along will suffice. It won’t.

[cmarks]

SmartBiz. isn’t. a. ****ing. lender.

They don’t LEND ANY SBA PROGRAM. So, again, you said “many banks have stopped lending 7(a)s”. Name them. You can’t.

As far as docs theyre asking for, all you’re showing is that you truly have no ****ing clue what’s going on. The documents required, most banks, along with Treasury, along with many states, have released the standard lists of documents required. Literally everyone else in this forum is familiar with the lists.

As for the $350B, that is going toward PURCHASING the loans from the banks who are tying up their own funds in originating, as well as paying the banks back after the loans have forgiven.


Like I said, you have no clue what you’re talking about, but you think just making up random **** as you go along will suffice. It won’t.

anger issues bud, we all know smart biz isnt a lender

Literally have had the main SBA document list since last week for stips but not all is equal.
Here is the guidance to banks:
"What underwriting is required? You will need to verify that a borrower was in operation on February 15, 2020. You will need to verify that a borrower had employees for whom the borrower paid salaries and payroll taxes. You will need to verify the dollar amount of average monthly payroll costs. You will need to follow applicable Bank Secrecy Act requirements."

Here is what 1 bank has on their site:"
State income, payroll, and unemployment insurance filings
TAX ID/EIN and complete ownership information
For sole proprietorships, independent contractors, and other self-employed individuals, your 1099-MISC forms
For sole proprietorships, documentation of the income and expenses from the sole proprietorship. For healthcare costs, all health insurance premiums paid by the business owner under a group health plan
Your company retirement plan funding paid for by the company
Additional documents may be needed.

"
But yea, no clue Bret

[Fly]

Okay which one of you is this, gave me a good laugh:

https://www.covidbusinessfunding.com/

[WestCoastFunding]

anger issues bud, we all know smart biz isnt a lender

Literally have had the main SBA document list since last week for stips but not all is equal.
Here is the guidance to banks:
"What underwriting is required? You will need to verify that a borrower was in operation on February 15, 2020. You will need to verify that a borrower had employees for whom the borrower paid salaries and payroll taxes. You will need to verify the dollar amount of average monthly payroll costs. You will need to follow applicable Bank Secrecy Act requirements."

Here is what 1 bank has on their site:"
State income, payroll, and unemployment insurance filings
TAX ID/EIN and complete ownership information
For sole proprietorships, independent contractors, and other self-employed individuals, your 1099-MISC forms
For sole proprietorships, documentation of the income and expenses from the sole proprietorship. For healthcare costs, all health insurance premiums paid by the business owner under a group health plan
Your company retirement plan funding paid for by the company
Additional documents may be needed.

"
But yea, no clue Bret

1) You made the claim that many SBA lenders stopped funding 7(a)s and have yet to name a single one.

2) You asked what the lenders are underwriting besides the application, and then admit that they are asking for other documents besides an application.


Your argument is literally an argument against yourself. Stick to trying to sell ISO lists and let people who actually navigate SBA financing discuss the SBA programs, as you’ve never actually brokered an SBA loan yourself.

[skideeppow]

On a side note, US Bank and Wells released their application portals this AM.

[Winning]

WtF! Never signed up for that either! I use Platium Amex Business.

Any other ideas... Who would have thought by not using credit cards and having a loan with them would come back and bite me in the ass.

Bank of America Changes Paycheck Protection Program Rules After Criticism.

Bank of America ended up changing its position with Chief Executive Brian Moynihan telling CNBC Friday that applicants no longer needed an existing lending relationship with the bank to access the funds.*

Bank of America says that it has already received 60,000 applications with paycheck protection program loan requests totaling over $6 billion.

Meanwhile the U.S. Small Business Administration said that 5,218 loans valued at more than $1.8 billion had been received.

https://www.thestreet.com/investing/...fter-criticism

[Christian]

As many of you likely know, SmartBiz notified their ISOs that all applications in their 7a portal would be processed as PPPs. A few days after that they sent guidance that their funding banks are servicing their existing clients first and they really don't know when (if?) they will get around to funding smartbiz clients. My problem is that I have sent 45 clients to them since Thursday. Does anyone have a source we could cobroker thru to cherry pick the best of my 45 clients? These deals are fresh and I feel like if I wait for Smartbiz, they will go elsewhere.

[fundingsmbs]

lots of apps, not a alot of fundings going on. there are still many things being worked out behind the scenes. it's almost as though this program was a rough draft, and, now it's being ironed out. also, each bank will hit capacity at some point. the way i understand it is, the SBA lenders (depository banks) have to carry these loans on their balance sheets at 1% with customers who aren't even open and operating. it sounds like that is being worked out as well. the non depository companies (fintechs) are going to have a diff application. however, i think the main question here is how to get paid for PPPs and the answer is, many will not be paying to process apps.

i also believe the companies with massive databases will direct market PPP's now and the broker will be left without any opportunities for it.

[Christian]

lots of apps, not a alot of fundings going on. there are still many things being worked out behind the scenes. it's almost as though this program was a rough draft, and, now it's being ironed out. also, each bank will hit capacity at some point. the way i understand it is, the SBA lenders (depository banks) have to carry these loans on their balance sheets at 1% with customers who aren't even open and operating. it sounds like that is being worked out as well. the non depository companies (fintechs) are going to have a diff application. however, i think the main question here is how to get paid for PPPs and the answer is, many will not be paying to process apps.

i also believe the companies with massive databases will direct market PPP's now and the broker will be left without any opportunities for it.

Ready, fire, aim

[cmarks]

As many of you likely know, SmartBiz notified their ISOs that all applications in their 7a portal would be processed as PPPs. A few days after that they sent guidance that their funding banks are servicing their existing clients first and they really don't know when (if?) they will get around to funding smartbiz clients. My problem is that I have sent 45 clients to them since Thursday. Does anyone have a source we could cobroker thru to cherry pick the best of my 45 clients? These deals are fresh and I feel like if I wait for Smartbiz, they will go elsewhere.

Fundera, they are accepting apps but not sure of processing time or banks. will pay half comish as normal partners

[WestCoastFunding]

As many of you likely know, SmartBiz notified their ISOs that all applications in their 7a portal would be processed as PPPs. A few days after that they sent guidance that their funding banks are servicing their existing clients first and they really don't know when (if?) they will get around to funding smartbiz clients. My problem is that I have sent 45 clients to them since Thursday. Does anyone have a source we could cobroker thru to cherry pick the best of my 45 clients? These deals are fresh and I feel like if I wait for Smartbiz, they will go elsewhere.

Real talk, if you aren’t being handled by your bank, there’s a 99.9999% chance they aren’t moving through the system as of today. I’ll say this again: lenders don’t want these. Think of the manpower and resources used. Think of how banks are getting 10,000 apps in a day, with a team of a few dozen people (at best) trying to process these, put all the work in, only to find out they’ve submitted to 12 other banks and you’ve spent all those resources for nothing. And if you do get it funded, the returns ****ing suck. And, oh by the way, the Treasury changes the rules at the last moment about covering the banks 100%. Its like, they couldn’t just add an extra $20B to make sure the banks could charge a reasonable fee, and let the govt cover the fees? I mean, we are about to have a $3 Trillion annual deficit, and another 0.00001% a

[inacio]

I believe commissions will be paid perhaps 1%. Right now you have brokers taking half of the 1% giving us .50%
In the coming day,weeks you'll see many Fintech loan companies, Ondeck and alike having this.
Right now we just have to hold tight and get what we can with the current system (brokers) until the direct lenders start carrying it. It will happen.
Money dried up for MCA term loans for the retail/restaurants and investors are making 0% Why wouldn't they opt-in to make a 1-2% off of the 5%

Yeah 1% of $100,000 loan is $1,000 vs MCA $8,000 - $15,000 it will take you many more loans to get to that amount, more loans to process which wont be a problem to signup.

Their will be lots of opportunity to make great income.

[Hedley Lamarr]

I believe commissions will be paid perhaps 1%. Right now you have brokers taking half of the 1% giving us .50%
In the coming day,weeks you'll see many Fintech loan companies, Ondeck and alike having this.
Right now we just have to hold tight and get what we can with the current system (brokers) until the direct lenders start carrying it. It will happen.
Money dried up for MCA term loans for the retail/restaurants and investors are making 0% Why wouldn't they opt-in to make a 1-2% off of the 5%

Yeah 1% of $100,000 loan is $1,000 vs MCA $8,000 - $15,000 it will take you many more loans to get to that amount, more loans to process which wont be a problem to signup.

Their will be lots of opportunity to make great income.

Banks are inundated processing current customers. Little to no banks are paying ANY referral fees.
I know brokers wishing to submit a non-customer for free and they are being turned down. If you think you are going to make a lot of money on these....you are living on Hope Island.

[WestCoastFunding]

Banks are inundated processing current customers. Little to no banks are paying ANY referral fees.
I know brokers wishing to submit a non-customer for free and they are being turned down. If you think you are going to make a lot of money on these....you are living on Hope Island.

I know guys ready to dump 1,000 PPP apps to any lender FOR FREE. Just take them. The get Nothing.

[KanjorskiPartners]

M&T bank got over 100,000 applications just today. They write approx. 180,000 loans per year. They are the 6th largest SBA lender in the country. That insane amount of backlog mixed with government bureaucracy. I agree that small businesses will not get the relief they need, definitely not in the time frame they need and there's no way stiff banks will ever pay out a dime. PPP is a lost cause for sure.