[Robinhood21]

I'm assuming Bitty Advance had a crazy default rate in 2021. Their parameters got very strict with their new guidelines.

[TheUnderwriter]

I'm assuming Bitty Advance had a crazy default rate in 2021. Their parameters got very strict with their new guidelines.

offering online check out will do that to you

[mca2150]

What are the new parameters?

I know they tried a lot of automated underwriting last year so that may be coming back to bite them. A lot of their offers didn't make any sense. Also I know that they aren't all that concerned with the default rate as long as they fund a large volume. That never ends well.

[harvey]

one day lenders will realize not all automation is good automation- they just like to say they are a “fintech” no matter the results

[SendDocsPlox]

one day lenders will realize not all automation is good automation- they just like to say they are a “fintech” no matter the results

Nothing beats a set of well trained human eyes in UW

Problem is most UW's are bad, hence the use of automation

[BR-Nightmare]

nothing beats a set of well trained human eyes in uw

problem is most uw's are bad, hence the use of automation

heeeyyyyyy........

[Drewfus]

Im pretty sure that Bitty has just moved on to investacard

https://www.tiktok.com/@investacard

[TheUnderwritingProdigy]

Bitty and Vader constantly put out offers that are setting the merchants up for default. I know they're doing this to aim for volume, but Bizfi did the same thing and even though they were one of the giants at the time, they fell. I would be super interested in seeing what their bounce/default rates are like.

[Shorebird]

Man, you gotta respect the hustle though!

[Esteban2000]

I consulted with Bitty for a while pre-pandemic, I was never able to convince them that you cannot price your way out of a bad deal.

[fundingsmbs]

Nothing beats a set of well trained human eyes in UW

Problem is most UW's are bad, hence the use of automation

you can't scale without some form of automation. As far as UW being good or bad, many get hired with little to no experience.

[BR-Nightmare]

you can't scale without some form of automation. As far as UW being good or bad, many get hired with little to no experience.

There will always be opinions in favor of both automation and physical underwriting. Both have pros and cons. Yes some UW's start with little to no knowledge however with time and experience they grow. They are in the process of being developed. Many companies would love to have someone come in who can get going on day 1. Yet some fail to realize not every company is the same. Think of it this way, professional athletes who move from team to team never use the same playbook, you always have to learn a new one. But the skills and experience stays with you. At some point everybody starts with little to know experience.

One reality in this industry in regards to both automation and live underwriting is that one bad apple will always try to learn how to beat the system.