[Collection Specialist]

Anyone out there have an interest in obtaining leads for merchants who have equity in some type of property they own to fund them?

There is a caveat. These merchants have defaulted with existing lenders. I had one MCA company interested but was taking an eon to get going and have a mortgage broker interested but is offering low commissions. I simply want to get a deal, albeit the right one done, but don't want to settle for a low rate or wait indefinitely to get a deal closed.

If there is a lender/broker out there who has an interest, I have an ongoing flow of leads to supply. The good news is that the leads I could provide would be individuals who know the in's and out's of MCA products, understand the cost, and would jump at the opportunity to get an advance to clear their financial mess. Obviously already having defaulted these would be leads with some type of collateral or security to guarantee the potential new advance/loan.

Clearly these leads are not for everyone but I know there must be a niche lender who would like this space, as some had already contacted me....just never went anywhere.

In any case, please PM me if you have an interest after perusing this post.

[FCF Fund]

If you are going the traditional route of obtaining a hard money loan on RE property, typical commission rates are between 1-2% on loan amount and most hard money lenders allow you to charge a reasonable "success fee" that you are liable for collecting.

WBL is one path to take, but seeing as how they already defaulted on a cash advance getting them another seems pointless albeit secured by RE.

[Zach]

Thanks for the shout-out FCF! And just so you know, WBL has no problem with clients who have defaulted on other lenders.

[ADiamond]

WBL has no problem with clients who have defaulted on other lenders.

...

[MCABroker]

And they say diamond is unethical...

[Zach]

How is my product unethical? I fund clients that have defaulted on other lenders. That merely means I am willing to take a greater risk and give these merchants a second chance. I fail to see where this entails a lack of ethics.

In fact, in many cases I help fund a client in order to repay their defaulted balance. If your money was out on the streets and a merchant wasn't paying you, and I helped you recover your unpaid principal balance, would you call me unethical then?

[Funder Mark]

I am with Zach on this one. If I have a client who defaulted on me, and says they need more money and will pay me back, if WBL is aware of the default, why would that be considered unethical? Maybe WBL can set things up that a minimum % of their funding has to go to pay back other funders, but that is a separate issue.

[AlexSMF]

I am with Zach on this one. If I have a client who defaulted on me, and says they need more money and will pay me back, if WBL is aware of the default, why would that be considered unethical? Maybe WBL can set things up that a minimum % of their funding has to go to pay back other funders, but that is a separate issue.

I do not see anything unethical here. Giving merchant an additional position who is already barely keeping up with existing payments...maybe, but not this.

[ridextreme]

when they have multiple positions then they secure another one with their house, guess who becomes homeless when they default? not the broker.

[AlexSMF]

when they have multiple positions then they secure another one with their house, guess who becomes homeless when they default? not the broker.

I don't think anyone is disagreeing on your point.

[Zach]

Typically when a client in default comes to us it's to pay back their debt to other lenders, materially reducing their payments.

[Michael I]

when they have multiple positions then they secure another one with their house, guess who becomes homeless when they default? not the broker.

that's the client's decision . you are not their mother . if the broker is clear and honest , i do not see anything unethical with it .

[ridextreme]

that's the client's decision . you are not their mother . if the broker is clear and honest , i do not see anything unethical with it .

really? A broker is going to be clear an honest (haha)?

No, the (average) broker is going to slam him to take the deal as usual.

[AndyYSCISOdept]

Typically when a client in default comes to us it's to pay back their debt to other lenders, materially reducing their payments.

Those are the best clients a lot of times, because not only have they been approved and been deemed abele to handle the cost of the advance product but they have gone out of their way to rectify their problem accounts with other funders. One must respect that in a day and age when a lot of merchants rack up a bunch of cash advance debt and bounce on their responsibilities. I for one have No problem with Zach and WBLs practice

[Michael I]

really? A broker is going to be clear an honest (haha)?

No, the (average) broker is going to slam him to take the deal as usual.

so with your logic any lenders who accepts files from brooker is unethical .

[ridextreme]

so with your logic any lenders who accepts files from brooker is unethical .

we are talking about a client that already has several positions stacked and is talked into taking an additional position secured by his home.