[skideeppow]

Just got a deal done with ODC, insane pricing. Seems they have a new program. This guy got approved up to 300k, out 36 months at a 1.21 paying 5 points.
They just upped the game.
He took 150k, 1.16 paying 5 points. Truly amazing
Better pricing than AMEX.

[Michael I]

congrats

[brokerCompany]

nice was your 150k 1.16 at 36 months?

Just got a deal done with ODC, insane pricing. Seems they have a new program. This guy got approved up to 300k, out 36 months at a 1.21 paying 5 points.
They just upped the game.
He took 150k, 1.16 paying 5 points. Truly amazing
Better pricing than AMEX.

[MCNetwork]

Those rates are ridiculous

[Funder Mark]

Everest is offering 1.15 buy rates, so not that different, except that On Deck is going out much further.

[brokerCompany]

1.15 a lot of guys do at 6 months if 12 or 26 months that is a different and great deal

[CreditGuy]

How long did it take from application to funding? Was it weeks longer?

[MCNetwork]

I'm bullish on ONDK. Now that they're transitioning from balance sheet lender to marketplace lender (aka broker), they're going to finally become profitable. And they're new ISO vetting process eliminated all their unsavory partners so they'll see an uptick in the quality of their paper.

[skideeppow]

no 24 months. 1.16.

[Funder Mark]

Their 1.16 included 5 points to you? How can they make money like that?

[MCNetwork]

Their 1.16 included 5 points to you? How can they make money like that?

Because that's not their own money anymore. They're a middleman now. That's probably JPMorgan Chase's money.

[Michael I]

Their 1.16 included 5 points to you? How can they make money like that?

what do you think banks or funding circle do . Lose money . on deck select requires someone that is golden for a bank and giving them higher then that

[skideeppow]

Their 1.16 included 5 points to you? How can they make money like that?

that is what i am saying. It is a game changer. Got to be a super clean deal, but still. 700 credit etc. That is crazy pricing.

[FUNd]

Good credit and clean deals get good rates, as it was, is, and always will be, how is this a game changer?

[brokerCompany]

Clean deal with profitable tax returns just take them to FC for 5 years terms at 12.5% for my last client. Probably not as fast as ondeck but was done in a week.
Remember most these big guys get their money real cheap...

[Sean Cash]

Everest is offering 1.15 buy rates, so not that different, except that On Deck is going out much further.

Holy S**t

[Sachip24]

was that pricing based on stellar credit and business type? or that program is just phenomenal

[Funder Mark]

Holy S**t

Took me a few minutes, going on 3 hours of sleep, then I started laughing.

[Sean Cash]

I'm bullish on ONDK. Now that they're transitioning from balance sheet lender to marketplace lender (aka broker), they're going to finally become profitable. And they're new ISO vetting process eliminated all their unsavory partners so they'll see an uptick in the quality of their paper.

The funny thing is that two VPs at Goldman Sachs predicted at the recent Marketplace Lending and Investing Conference that the industry would trend away from marketplaces to "on-balance sheet" lending because that was the better model. But the marketplace model rocks so long as you are one of the few companies that will come to dominate the space. I think you can have a functioning industry with 100 lenders but you can't have 100 marketplaces, so everyone beyond the handful of frontrunners in the marketplace world will indeed have to become a balance sheet lender.

[skideeppow]

1.15 a lot of guys do at 6 months if 12 or 26 months that is a different and great deal

yup 1.15, at 24 months

[skideeppow]

Good credit and clean deals get good rates, as it was, is, and always will be, how is this a game changer?

really? show me someone who went out 24 months at a 1.16 with 5 points built in. Or a 36 month 1.21. Ive been doing this ten years. No one has ever presented rates like this. So yes game changer.
As for viking doing a 1.15 buy rate that is great, but it is still not a 1.16 24 months with 5 points built in.

[MCNetwork]

The Goldman guys are full of it. There's too much risk with the balance sheet model. On Deck is first and foremost a data company and I think they're in great position to kill it as a middleman.

[FUNd]

Ok, you're right. Changed the game. I stand corrected.

[Sean Cash]

The Goldman guys are full of it. There's too much risk with the balance sheet model. On Deck is first and foremost a data company and I think they're in great position to kill it as a middleman.

definitely in a great position.

[staten]

I'm bullish on ONDK. Now that they're transitioning from balance sheet lender to marketplace lender (aka broker), they're going to finally become profitable. And they're new ISO vetting process eliminated all their unsavory partners so they'll see an uptick in the quality of their paper.

1. Profitability will depend on numerous factors with a change in funding model being just one them. They absolutely have room for improvement in the balance sheet optimization and operational arenas.

2. I don't necessarily agree that vetting will increase the quality of their portfolio on a stand alone basis. There are too many other variables that come into play.

3. If I'm an institution buying 12-18 mths deal at a 1.15 gross, I need leverage, lots a leverage.

At 1.15 marketplace buyers have to question the risk profile-big time.

Net Net Ondk is reducing rates (fair to say drastically reducing rates) to acquire customers-but there might not be buyers for it. Any ISOs want to syndicate on 1.15 18 mth deal?