[SuperFunds]

Has anyone else heard of them now requiring Confessions of Judgment on every deal? Trying to figure out how much truth there is to that, or if it is only within a certain program.

[AlexSMF]

They started requiring COJ's on their deals as of a few weeks ago. Apparently they got burned on a few of their longer term offers and the 1.15-1.20 buy rates they were pushing and decided to swing the pendulum the other way.

[KTK]

Renewals as well, or just new deals?

[FUNd]

They started requiring COJ's on their deals as of a few weeks ago. Apparently they got burned on a few of their longer term offers and the 1.15-1.20 buy rates they were pushing and decided to swing the pendulum the other way.

That policy is going to kill a lot of deals.

[NoBigDeal]

They started requiring COJ's on their deals as of a few weeks ago. Apparently they got burned on a few of their longer term offers and the 1.15-1.20 buy rates they were pushing and decided to swing the pendulum the other way.

Do you know this for a fact or just assuming they got burned. Cuz other funders use this as a scare tactic/way of recourse, which could be very helpful

[iso@wallfunding]

They started requiring COJ's on their deals as of a few weeks ago. Apparently they got burned on a few of their longer term offers and the 1.15-1.20 buy rates they were pushing and decided to swing the pendulum the other way.

This is actually GREAT news for me!! It will make it easier to get deals done now, if Everest will be requesting COJ's. Does anyone know more details? Is there a minimum size that they will be required on? Or on specific buy rate programs?

[NoBigDeal]

This is actually GREAT news for me!! It will make it easier to get deals done now, if Everest will be requesting COJ's. Does anyone know more details? Is there a minimum size that they will be required on? Or on specific buy rate programs?

How does this make it easier for your deals to get done? I can't imagine a COJ is going to deter many ISO's from wanting to fund with Everest. Ultimately, they'll still pay out the most and every ISO can sell a coj to a merchant who's not outright looking to steal some funders money. I think this will only help EBF lower their default rate and weed out the crooked merchants

[FUNd]

How does this make it easier for your deals to get done? I can't imagine a COJ is going to deter many ISO's from wanting to fund with Everest. Ultimately, they'll still pay out the most and every ISO can sell a coj to a merchant who's not outright looking to steal some funders money. I think this will only help EBF lower their default rate and weed out the crooked merchants

Not true. Many A/B bucket borrowers will not sign a notarized legal document confessing to defaulting on a financial obligation. The 3rd position, 550 FICO, low revenue guys will sign anything, but if they think they are going to fist good clients into COJs, they have another thing coming.

[iso@wallfunding]

How does this make it easier for your deals to get done? I can't imagine a COJ is going to deter many ISO's from wanting to fund with Everest. Ultimately, they'll still pay out the most and every ISO can sell a coj to a merchant who's not outright looking to steal some funders money. I think this will only help EBF lower their default rate and weed out the crooked merchants

Because if on similar offers we wanted a COJ, and Everest did not, we would lose the deal. If they are starting to ask for COJ's, then the other areas where we are more competitive in come into play.

For example, we can offer an early payoff addendum, every full month a client pays off early, we lower the factor rate. Until now the COJ overshadowed that ability. But if Everest is requiring a COJ, it becomes much easier to compete with them. If anyone wants to know about the other advantages we offer, reach out.

[J.Celifarco]

Because if on similar offers we wanted a COJ, and Everest did not, we would lose the deal. If they are starting to ask for COJ's, then the other areas where we are more competitive in come into play.

For example, we can offer an early payoff addendum, every full month a client pays off early, we lower the factor rate. Until now the COJ overshadowed that ability. But if Everest is requiring a COJ, it becomes much easier to compete with them. If anyone wants to know about the other advantages we offer, reach out.

they were looking at it from an ISO perspective where it is harder to close the deal with the COJ. If you are a bank that competes with Everest this is probably great for you

[NoBigDeal]

Not true. Many A/B bucket borrowers will not sign a notarized legal document confessing to defaulting on a financial obligation. The 3rd position, 550 FICO, low revenue guys will sign anything, but if they think they are going to fist good clients into COJs, they have another thing coming.

I know there's always a discrepancy in how you define A/B/C/D/E-Z bucket borrowers, but I've had merchants with 700+ FICO sign off on our COJ's. My point was that it happens, and if the merchant has a need for the money, they'll do it

[FUNd]

Cool. When I run up against you on the field, the merchant will be signed and funded while you are still waiting for the tracking number on that COJ you're supposed to get.

[NoBigDeal]

Cool. When I run up against you on the field, the merchant will be signed and funded while you are still waiting for the tracking number on that COJ you're supposed to get.

I'm not suggesting it takes less time. obviously we could pump out deals that have no COJ's faster than the ones with COJ's, all I'm saying is that every Tom, Dick, & Harry can sell a COJ to a merchant and it won't effect Everest's decision to start using them by a considerable amount.

For the record, I'm strictly ISO based, so I don't think we'd ever "run up" against each other on the field. I'm talking to ISO's all day, not merchants

[Michael I]

This is actually GREAT news for me!! It will make it easier to get deals done now, if Everest will be requesting COJ's. Does anyone know more details? Is there a minimum size that they will be required on? Or on specific buy rate programs?

my rep told me all deals no exceptions even if it is 2k .

[FUNd]

I'm not suggesting it takes less time. obviously we could pump out deals that have no COJ's faster than the ones with COJ's, all I'm saying is that every Tom, Dick, & Harry can sell a COJ to a merchant and it won't effect Everest's decision to start using them by a considerable amount.

For the record, I'm strictly ISO based, so I don't think we'd ever "run up" against each other on the field. I'm talking to ISO's all day, not merchants

Fair enough, but apples to apples, why would an ISO send a good deal to EBF over say OD or CAN when they know that COJs come standard now? It doesn't make sense.

[Michael I]

I know there's always a discrepancy in how you define A/B/C/D/E-Z bucket borrowers, but I've had merchants with 700+ FICO sign off on our COJ's. My point was that it happens, and if the merchant has a need for the money, they'll do it

even if i am higher factor or less money but no coj , i will win . with that said i had a 800 credit auto sales guy sign a coj the other week

[NoBigDeal]

my rep told me all deals no exceptions even if it is 2k .

If this is true then THIS is actually great news for me!!!

[NoBigDeal]

Fair enough, but apples to apples, why would an ISO send a good deal to EBF over say OD or CAN when they know that COJs come standard now? It doesn't make sense.

Agreed, idk why an iso would want to send a prime deal to a sub-prime funder, but I'm assuming that if a deal comes across MY desk, then the reason it's by me is because the prime folks were barfing all over it for some reason. It's the beauty of the tongue, some people like the taste of certain foods more than others. I'm more of the "See & Eat" kind of guy, so I look to fund any deal that gets approved by me

[FUNd]

even if i am higher factor or less money but no coj , i will win . with that said i had a 800 credit auto sales guy sign a coj the other week

Auto sales.

[FUNd]

Agreed, idk why an iso would want to send a prime deal to a sub-prime funder, but I'm assuming that if a deal comes across MY desk, then the reason it's by me is because the prime folks were barfing all over it for some reason. It's the beauty of the tongue, some people like the taste of certain foods more than others. I'm more of the "See & Eat" kind of guy, so I look to fund any deal that gets approved by me

Wait, I thought EBF was positioning themselves to compete with the 'prime' funders like OD with all these "WTF" and "Holy S*it" emails about low buy rates?

[Cfairbank]

So many companies are setting themselves to get slaughtered by regulation (which 100% is coming). Here's an idea, let's stack several positions, double dip merchants into a cycle of debt they can't escape, and take any questionable or borderline tactic and add it to our business model, while claiming to potential regulators we should be allowed to "self-regulate". And yes, COJs will come under increased scrutiny in this space.

[FUNd]

So many companies are setting themselves to get slaughtered by regulation (which 100% is coming). Here's an idea, let's stack several positions, double dip merchants into a cycle of debt they can't escape, and take any questionable or borderline tactic and add it to our business model, while claiming to potential regulators we should be allowed to "self-regulate". And yes, COJs will come under increased scrutiny in this space.

I don't see how a judge can't just kick a COJ out of court when it's presented to be enforced. Doesn't seem legal to have someone confess to a civil wrong before they commit the act.

[J.Celifarco]

So many companies are setting themselves to get slaughtered by regulation (which 100% is coming). Here's an idea, let's stack several positions, double dip merchants into a cycle of debt they can't escape, and take any questionable or borderline tactic and add it to our business model, while claiming to potential regulators we should be allowed to "self-regulate". And yes, COJs will come under increased scrutiny in this space.

yes yes and yes.. There is nothing about this that isnt going to bite companies in the ass

[NoBigDeal]

Wait, I thought EBF was positioning themselves to compete with the 'prime' funders like OD with all these "WTF" and "Holy S*it" emails about low buy rates?

They aren't doing those WTF deals anymore, based on what AlexSMF said above, they got burned on those deals. They're still S**ting, but they ain't F***en

[Chambo]

I don't see how a judge can't just kick a COJ out of court when it's presented to be enforced. Doesn't seem legal to have someone confess to a civil wrong before they commit the act.

A judge cannot throw out a decision? Cannot void a contract? ABSOLUTELY they can