[IndustryVet]

People have different opinions, what is yours?

I've been in this space for 10 years. I have never charged a psf to any client. Its wrong and its greedy. And they will remember that when you try to renew them. a quick buck will hurt your renewal book beyond words. Many people charge the fees, pray the guy doesn't default within 30 days and move on. This is not how you grow your ISO shop. Growth comes from building relationships and actually giving a **** about your merchants and not always charging max points and max offers. Figure out what they need, and make them value your relationship. Then one day when you're still funding them 10 years down the road, you'll realize quick and fast and max everything isn't what keeps your clients with you. When other people call them they tell them to **** off, I only work with so and so. When lenders call them they say **** off, I only work with so and so. Play the long game, it works. Better to have a happy and loyal book of clients than people who think you're a shady greasy salesman/saleswoman.

[TheUnderwritingProdigy]

I've been in this space for 10 years. I have never charged a psf to any client. Its wrong and its greedy. And they will remember that when you try to renew them. a quick buck will hurt your renewal book beyond words. Many people charge the fees, pray the guy doesn't default within 30 days and move on. This is not how you grow your ISO shop. Growth comes from building relationships and actually giving a **** about your merchants and not always charging max points and max offers. Figure out what they need, and make them value your relationship. Then one day when you're still funding them 10 years down the road, you'll realize quick and fast and max everything isn't what keeps your clients with you. When other people call them they tell them to **** off, I only work with so and so. When lenders call them they say **** off, I only work with so and so. Play the long game, it works. Better to have a happy and loyal book of clients than people who think you're a shady greasy salesman/saleswoman.

Couldn't have said it better myself. PSF's are pure greed and screw up relationships and renewal game.

[moneypenny1]

I've been in this space for 10 years. I have never charged a psf to any client. Its wrong and its greedy. And they will remember that when you try to renew them. a quick buck will hurt your renewal book beyond words. Many people charge the fees, pray the guy doesn't default within 30 days and move on. This is not how you grow your ISO shop. Growth comes from building relationships and actually giving a **** about your merchants and not always charging max points and max offers. Figure out what they need, and make them value your relationship. Then one day when you're still funding them 10 years down the road, you'll realize quick and fast and max everything isn't what keeps your clients with you. When other people call them they tell them to **** off, I only work with so and so. When lenders call them they say **** off, I only work with so and so. Play the long game, it works. Better to have a happy and loyal book of clients than people who think you're a shady greasy salesman/saleswoman.

I disagree- Its not greed- If you work hard to get the merchant a great deal and you sell a normal fee (1-4%) of the funded there is totally nothing wrong with that. as long as your honest and upfront you wont loose the client or the renewal and you will end up with more PR-

[IndustryVet]

I disagree- Its not greed- If you work hard to get the merchant a great deal and you sell a normal fee (1-4%) of the funded there is totally nothing wrong with that. as long as your honest and upfront you wont loose the client or the renewal and you will end up with more PR-

My point is, it puts a bad taste in merchants' mouths. Every file takes work, and the points you're making on the file should be enough for you not to hit the merchant (who's already taking expensive money) with another fee. Wouldn't it make sense to try to drop fees wherever possible rather than add-on wherever possible? They always remember the deal you got them. They keep coming back. Another example- dropping points on an A paper client to get the deal done may suck for this month, but that's residual income every renewal just added to your pipeline. I understand you not agreeing, but in my opinion, and many others like me- there is just no upside to charging additional fees. I'd rather have a book of clients that know I don't charge them anything other than what's on the contracts. Its gotten me more referrals than you can imagine. To each his own, I just don't do it and I don't advise anyone just getting started in the space to do it either.