Results 76 to 100 of 142
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06-17-2024, 01:11 PM #76
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06-17-2024, 01:16 PM #77
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06-17-2024, 01:25 PM #78
- Join Date
- Feb 2017
- Posts
- 3,475
The disconnect here is defining a default. Because you agree that the broker should not be paid on a default, right? So let's do it together.
Here's the industry standard:
The merchant agrees to remit X% of their daily gross revenue. That is estimated to be approximately $Y per day.
If they don't do that, then they are reneging on their contractual sale of the gross revenue.
Clawback and "not paying commissions" are actually the same thing. Either pay and take back, or don't pay. Most funders will pay you (the ISO) if the merchant does finish out without true collections.
Here's your definition:
If the company didn't sell/send it off to a third-party collections agency, it's still in 100% good standing.
If the merchant bounced a payment and immediately called the funder and said "here's the missed payment", that might change things. Did they do that? Did you encourage the merchant to do that?
If you don't have a contractual definition of "default", then you have to look at the industry standard. And as you have seen from the comments here, the "industry standard" is not what you thought.
It would have been better to start the thread "here's what happened, is this considered a default and how can I convince the funder to pay the commissions before the end of the term?"
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06-17-2024, 01:33 PM #79
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06-17-2024, 01:35 PM #80
- Join Date
- Jul 2015
- Posts
- 216
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06-17-2024, 01:39 PM #81
- Join Date
- Dec 2023
- Posts
- 58
Yes the merchant did exactly that and has been paying since on time. The funder only pays on the 1st and 15th. The contract states we must get paid within 7 business days with a 30day clawback. They called me on the 1st and told me they cant pay me until he makes the missed payment and pays on time. He paid and is paying on time, but they still don’t want to pay.
The clawback period is basically over, but now the funder just doesn’t want to pay until December when the term is over and he cannot just do that. They should've paid us today but would rather us get our lawyer involved, and pay us their share of profits on the deal at this point in fines for violating regulations they dont agree with.
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06-17-2024, 01:51 PM #82
- Join Date
- Dec 2023
- Posts
- 58
Again, None of our clients ever defaulted because we keep contact and encourage them to keep a good payment history. Which is why we maintain great relationships with both Merchants and Funders.
This merchant trusts our instruction more than anyone, since we’ve been working with them since last year. They refused to even do a deal with another broker, or a funder without making sure our company benefit from it as well.
There’s no reason we shouldn't get paid within our contracted clawback period. It took a-lot for the merchant to even get to a second position, thanks to us.
No way should we be getting stiffed like this. Its basically like we have been working all these months for with them for no reason.
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06-17-2024, 01:51 PM #83
You sound like you'd be a nightmare to deal with on any level. Plus the free email tag. You're clogging up the daily digest.
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06-17-2024, 01:56 PM #84
- Join Date
- Dec 2023
- Posts
- 58
Again, lol we maintain relationships and are actually working with some of the best lawyers in the US right now.
We always make sure the best lawyers to work with us. Thats the problem you think we cant or cant afford it so you break contracts to try to be in control and think somebody won’t come for you.
This is actually the wrong ISO to play with.
Just because Im on here doesn’t mean nothing is being done outside of here. lol
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06-17-2024, 01:56 PM #85
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06-17-2024, 01:59 PM #86
- Join Date
- Jul 2015
- Posts
- 216
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06-17-2024, 02:06 PM #87
- Join Date
- Dec 2023
- Posts
- 58
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06-17-2024, 02:23 PM #88The Brokers Nightmare
I don't want peace, I want problems, ALWAYS!
Florida-Based
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06-17-2024, 02:26 PM #89
- Join Date
- Dec 2023
- Posts
- 58
This is exactly why there are rules and regulations.
You simply cannot make decisions based on pride, fear, and other emotions that have no basis, if there is already a contract in place.
Especially when the decisions you make can affect a livelihood and company.
You don't know what damage holding one's commission is actually doing on the other end, and the fact the funder doesn't care is called "negligence".
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06-17-2024, 02:32 PM #90
- Join Date
- Dec 2023
- Posts
- 58
Having a debated conversation about what is going on, in order to find out opinions of other brokers and lenders is not slander or defamation. This is in fact PUBLICITY which is notice or attention given to someone or something by the media, where they previously had none.
Slander is the utterance of FALSE charges or misrepresentations which defame and damage another's reputation.
Defamation is the action of damaging the good reputation of someone.
If you feel he is right, then his reputation is not damaged.
We need to just start a Thread for vocabulary words at this point.
We've defined the true meaning of "DEFAULT, SLANDER, PUBLICITY, and DEFAMATION" already.
What new words will we come up with next?
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06-17-2024, 03:16 PM #91
- Join Date
- Jun 2024
- Posts
- 26
Sounds like your not a big relationship guy. Keep your head up.
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06-17-2024, 03:22 PM #92
- Join Date
- Dec 2023
- Posts
- 58
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06-17-2024, 04:46 PM #93
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06-17-2024, 05:12 PM #94
- Join Date
- Mar 2014
- Location
- Florida
- Posts
- 3,004
Dave Lambert, Business Development
Managed Services Provider
https://www.united-internet.com
https://www.nmi.com
dave@fcbankcard.com
Office: 727-233-1111
Skype: fc-financial
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06-17-2024, 05:34 PM #95
- Join Date
- Mar 2024
- Posts
- 264
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06-17-2024, 05:37 PM #96
- Join Date
- Mar 2024
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- 264
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06-17-2024, 05:45 PM #97
- Join Date
- Dec 2021
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- 221
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06-17-2024, 05:51 PM #98
- Join Date
- Dec 2023
- Posts
- 58
Thats what I’m saying !
They do not have a valid reason to hold our commission and are intentionally attempting to make us suffer at this point, seemingly in retaliation against us posting in this thread. That is also another illegal offense, causing damage.
The amount being withheld is not an amount that would make, break, or destroy their funding business, that they can’t pay us today.
Had they paid us within the stipulations of out contract, this thread would’ve never existed.
Every action has a reaction, and people rarely enjoy taking ACCOUNTABILITY for their negative actions. But to make us wait 6 months to get paid and there’s no ACTIVE default is ARROGANT and CONTROLLING.
Our contract also said they needed to make sure they were at least repaid 10%, and our client has well exceeded that amount.
There’s no reason for ANY funder to withhold an ISO fee until a deal is fully paid, unless for the purpose of being greedy.
Hence the reasoning for the new CFDL regulations.
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06-17-2024, 05:55 PM #99
- Join Date
- Mar 2024
- Posts
- 264
Look this space is not for everyone, if a (what I guarantee you) small amount of money sends you into a frenzy like this ,I would strongly advise not being an ISO. You should have money in reserves, and not be relying on one deal. Not saying anyone is right or wrong, but typically when people get this explosive they are under extreme financial distress and running a shop is not a good position for someone that cant absorb a commission. What would have happened if it did not fund, close up shop?
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06-17-2024, 05:55 PM #100
- Join Date
- Dec 2023
- Posts
- 58
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