Results 1 to 9 of 9
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04-08-2015, 10:05 AM #1
- Join Date
- Nov 2014
- Posts
- 3
Please help! ISO Risks?
If a merchant fails to make the payments and refuses to answer his phone, what kind of risks am I facing as an agent?
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04-08-2015, 10:06 AM #2
- Join Date
- Jul 2014
- Posts
- 128
Please help! ISO Risks?
Definitely getting the commish charged back.
Possibly lose the funding relationship.
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04-08-2015, 10:07 AM #3
- Join Date
- Sep 2012
- Location
- New York, NY
- Posts
- 1,780
If the default occurs within the first 30-90 days of funding (depending on your ISO agreement) you may lose your commission on the deal. That's the limit of your exposure.
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04-08-2015, 10:12 AM #4
- Join Date
- Oct 2014
- Location
- New York
- Posts
- 50
In most cases if the this happens within 30 days from the funded date. You will have to pay back the commissions to the lender. The merchant will more than likely be place on the NAMAA list for non-payment. Exactly as per Drizzle's comment.
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04-08-2015, 10:38 AM #5
- Join Date
- Dec 2013
- Posts
- 4,713
taking back commissions after 30 days?????
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04-08-2015, 10:47 AM #6
- Join Date
- Sep 2012
- Location
- New York, NY
- Posts
- 1,780
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04-08-2015, 10:50 AM #7
every business has risks. Did you ask this question to your funding source? They will be able to give you an exact answer on their policy. I know if ISO's keep sending deals that go bad they will be cut off.
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04-08-2015, 11:10 AM #8
- Join Date
- Aug 2014
- Posts
- 187
I like the professional jargon term for this: "Clawback"
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04-08-2015, 02:12 PM #9
- Join Date
- Jan 2015
- Posts
- 18
Please help! ISO Risks?
I always require the "clawback" be removed form all agreements and everyone does it. If they don't trust their own underwriters they shouldn't fund the deal to begin with.