[Cfairbank]

Have to figure in federal, state, and local business fees and taxes into the ROI too. So at 100% margin, they about break even at a 1.4x.

I was looking at it from the customers perspective -- a merchant can't survive if they are getting 20% to 30% pulls and continually renewing 1.4x 5 month deals because the return they get from that capital will never ultimately outweigh the cost.

[Cfairbank]

I was looking at it from the customers perspective -- a merchant can't survive if they are getting 20% to 30% pulls and continually renewing 1.4x 5 month deals because the return they get from that capital will never ultimately outweigh the cost.

And to be clear, I'm not here to argue about pricing, I get you need to price the risk and there is an high inherent cost in originating and funding a short term deal to a subprime customer -- my point is the problem with the current application of high cost products is the cycle on which many folks get stuck.