[Robinhood21]

Anyone know of any lenders that dont check data merch?

merchant has ondeck LOC
pretty sure ondeck doesnt check either.

[BR-Nightmare]

Anyone know of any lenders that dont check data merch?

merchant has ondeck LOC
pretty sure ondeck doesnt check either.

What are they hiding?

[Robinhood21]

apparently its fake banks

[benkhay]

We don't just look at Datamerch and decline if the report was fraudulent statements, we examine the statements provided at time of application. Might be different for other funders.

[BR-Nightmare]

We don't just look at Datamerch and decline if the report was fraudulent statements, we examine the statements provided at time of application.

As it should be.

Tip of the cap to you.

We do the same as well.

[rmckellar]

LMAO.

Datamerch wont prevent anything related to fake banks; are you saying he's in datamerch for having submitted fake banks before? While I personally don't put a lot of stock into someone being reported for fake banks (I've had funding companies say banks were fake that I personally or my admin logged in and downloaded for a merchat) because everyone in this industry is a forensic accountant when you send deals to them, the fact is that most companies see anything bad in Datamerch and theyre going to decline the deal just for sheer risk mitigation.

If someone has a history of fake banks it's going to be found out as soon as a bank verification is done, or the funder will see that the banks are real, the problem is getting to that point.

I just had a guy make a fake ZBL and when I sent it to the company he 'paid off' to see if they would renew him, I was informed that not only does he have a balance with them that he defaulted on, but the 'ZBL' was a balance letter they sent him demanding to be paid and he scanned it in the computer and edited it. Guys like this make it really hard to work with companies who have been put in datamerch in error or maliciously.

There's a lot of going in fruitless circles with clients like this. As soon as I find out something is fishy I move on to the next one. Easier said than done when we're in one of the down months for the industry but otherwise you'll spend days looking for a place to fund the guy and ultimately get nothing out of it. I would make him log into his bank account with you right now on a screen share so that you can verify the validity of the statements.

[abfunders]

Honestly, Datamerch has an API that many funders will automatically kick a rejection if there's a hit.
In my history, the few times I've run into it, it's actually been accurate. The banks I just got.... ended up being fake.
What I do is give the merchants the ability to write Datamerch directly to make amends and purge their mistaken data, and prove that they don't deserve to be reported. If they are serious, they'll do it, but if they know that they were caught, they'll go dark on you.

I also recently found out about Paynet. It's a service from Equifax that is similar to Datamerch, that all of the equipment lenders use, and the lenders are self-reporting to it as well. The SBA even reports the PPP forgiveness to them. Pulling credit from Paynet costs $50 per pull. Similar idea to Datamerch, but a bit harder to manipulate.