My experience is that really only higher risk lender do that. They'll approve a file pending credit check and bank login. I think the reason for that is because for the most part factor rates won't change much, they will be high whether it's a 540 fico or 620 fico. The A lenders will typically pull credit right away because personal and biz credit will play a big difference in there potential factor rate and term. So it's part of seeing the whole picture upfront for them.

Quote Originally Posted by JSL23 View Post
I appreciate the input.

I usually deal with the Merchants on the sales end of things and my firm's President and Office Manager handle the Underwriter's and submission part. They fill me in pretty well but based on what I hear from them and several other people(and this is my opinion) is there is just a disconnect between the Lenders and Brokers. It is not always explained WHEN they pull or if it is a "Soft Pull" or not. These things should all be explained by every single lender. Yes, there are some that are thorough and fill us in on their process and then there are the one's that piss on your back and tell you it's a waterfall! "Just send the file! We fund in 2 hours!" you guys know the type....

I would still like some feedback from the Lenders as to whether this type of arrangement is doable....Good for the Merchant, good for us in terms of saving time. Win Win.