[Michael I]

Difference is when you're shopping retail, you have a visual on all your options at a given price. Not upsold to MAX COMMISSION!!!

last month i reached out to an old lead that never sent me in the app because they went with the direct lender . that direct lender gave them the best they offer 120k at 1.42 7 month deal with fees totaling about 4% . i just funded this merchnat for 285k on a 21 month deal at 1.38 no fees paying me 5% commission . so by coming to the brooker he got 3 times the term cheaper rates and no fees .
fyi i was competing with another direct lender that is all over this site offering him a second position of 75k 1.49 4 month deal .
now i know there are some bad brokers out there but don't forget there are also some bad lenders

[NoBigDeal]

If you don't think a salesperson has ever maxed you out on markup, be it an auto purchase or a loaf of bread you're lying to yourself.

My point was there is more transparency when you're shopping retail, that's all

[NoBigDeal]

last month i reached out to an old lead that never sent me in the app because they went with the direct lender . that direct lender gave them the best they offer 120k at 1.42 7 month deal with fees totaling about 4% . i just funded this merchnat for 285k on a 21 month deal at 1.38 no fees paying me 5% commission . so by coming to the brooker he got 3 times the term cheaper rates and no fees .
fyi i was competing with another direct lender that is all over this site offering him a second position of 75k 1.49 4 month deal .
now i know there are some bad brokers out there but don't forget there are also some bad lenders

You're a saint Michael

[J.Celifarco]

LOL I beg to differ. I work at the inside sales group for a top 5 funder and we make a TON of outbound cold calls. We tell merchants "Why would you want to work with a broker who charges you a commission when we can get you the wholesale rate?"

Works every time...

Yes but if you cant fund in house do you then try to broker it out to other funders?? i assume you do so all this means is that the original information you gave to the merchant is a lie. I used to work inside sales for a top funder and I did the same thing, I thought it would give me credit with the merchant by saying I was a direct funder. What I have learned with experience, I have gotten more deals done telling people the truth that I am a broker who sole job is to find you the best deal possible

[Michael I]

You're a saint Michael

lol . not sure if you can be in this industry

[FUNd]

My point was there is more transparency when you're shopping retail, that's all

I never see the retail markup on anything I buy. Maybe I'm not looking hard enough.

[Funder Mark]

lol . not sure if you can be in this industry

A saint is not someone who succeeds, but someone who puts 110% effort into doing the right thing 100% of the time.

[FUNd]

A saint is not someone who succeeds, but someone who puts 110% effort into doing the right thing 100% of the time.

Like Trump?

[J.Celifarco]

Like Trump?

not so much

[FUNd]

not so much

lol

[HFS]

I don't want to ruin anybody's life and I'm pretty sure this will...

I got backdoored by bfs, called the director. His answer was "we have nothing to do with internal sales" ... said thanks and never submitted a deal again.
Do the same.

[FUNd]

I got backdoored by bfs, called the director. His answer was "we have nothing to do with internal sales" ... said thanks and never submitted a deal again.
Do the same.

Funny, I got paid out of nowhere on an old renewal with BFS, and I hadn't submitted a deal to them in the 6 months prior. I also never did high volume with them and they could have easily cut me out. Sorry they did you wrong like that, but my experience was pretty good.

[MCNetwork]

Yes but if you cant fund in house do you then try to broker it out to other funders?? i assume you do so all this means is that the original information you gave to the merchant is a lie. I used to work inside sales for a top funder and I did the same thing, I thought it would give me credit with the merchant by saying I was a direct funder. What I have learned with experience, I have gotten more deals done telling people the truth that I am a broker who sole job is to find you the best deal possible

Depends on how you present it to the merchant. I say, "Sorry, my company was unable to approve you because of xyz, however one of my funding partners might be able to help you. Would you like me to check with them?"

As long as you're transparent about the whole process, the customer will be totally fine with it.

[HFS]

Funny, I got paid out of nowhere on an old renewal with BFS, and I hadn't submitted a deal to them in the 6 months prior. I also never did high volume with them and they could have easily cut me out. Sorry they did you wrong like that, but my experience was pretty good.

The deals I did do with them were great ! ........ Funders with internal drive me away.

[J.Celifarco]

Depends on how you present it to the merchant. I say, "Sorry, my company was unable to approve you because of xyz, however one of my funding partners might be able to help you. Would you like me to check with them?"

As long as you're transparent about the whole process, the customer will be totally fine with it.

Agreed and if this is how you handle it then you are doing it the right way.. My experience is that most people aren't as transparent as you are which leaves merchant with a bad taste

Funny, I got paid out of nowhere on an old renewal with BFS, and I hadn't submitted a deal to them in the 6 months prior. I also never did high volume with them and they could have easily cut me out. Sorry they did you wrong like that, but my experience was pretty good.

It funny how you can talk to 3 different ISO's ask them their experience with a bank and get 3 completely different stories

[MCNetwork]

Agreed and if this is how you handle it then you are doing it the right way.. My experience is that most people aren't as transparent as you are which leaves merchant with a bad taste




It funny how you can talk to 3 different ISO's ask them their experience with a bank and get 3 completely different stories

Actually I don't actively run my ISO anymore. I only service the renewals. The ISO game dried up for me a few years ago so I decided to work for a direct lender.

[Chambo]

LOL I beg to differ. I work at the inside sales group for a top 5 funder and we make a TON of outbound cold calls. We tell merchants "Why would you want to work with a broker who charges you a commission when we can get you the wholesale rate?"

Works every time...

That's a One Trick Pony response. You are limited by your one source...as opposed to a broker who has (essentially) unlimited funding resources

[mcashark]

ridextreme - "99% of the people that claim to be direct lenders are simply lying. Direct Lenders don't make outbound cold calls. The few that do also broker deals out anyway, so what's the big advantage about "claiming" to be a direct lender? If you DID work for a direct lender, do you not make any commission off of the deal anyway?

Everyone wants to lie and brag that they're calling from a "direct lender" so they feel important I guess."

says the guy that works for a direct lender

[MCNetwork]

That's a One Trick Pony response. You are limited by your one source...as opposed to a broker who has (essentially) unlimited funding resources

In which case I say, "why would you use a broker who will shot gun your application to his pool of unlimited funding resources and you'll see your credit score fall off a cliff?"

Having unlimited funding resources is not a plus. When you present a merchant with too many options, they are less likely to choose any. Never give a merchant more than two options.

[Jonathon]

An experienced broker with many resources will pre-underwrite the file, look over banks and financials and determine the best lender to send the file to, and not shotgun it. I agree with never giving them more than 2 options....

[Kevin Henry-Seacoast]

An experienced broker with many resources will pre-underwrite the file, look over banks and financials and determine the best lender to send the file to, and not shotgun it. I agree with never giving them more than 2 options....

Jonathan,

From your lips to God's ears! Having a clean, buttoned up data room or file is refreshing. It makes the process move so much quicker.

Best,

Kevin

[NoBigDeal]

An experienced broker with many resources will pre-underwrite the file, look over banks and financials and determine the best lender to send the file to, and not shotgun it. I agree with never giving them more than 2 options....

For some reason, I feel like the industry has more of the inexperienced brokers than the experienced ones. It's why I laugh everytime I hear an ISO brag about having relationships with 40+ funders (75% of them are likely brokers themselves)

[Funder Mark]

For some reason, I feel like the industry has more of the inexperienced brokers than the experienced ones. It's why I laugh everytime I hear an ISO brag about having relationships with 40+ funders (75% of them are likely brokers themselves)

Exactly, perfectly stated, nothing more to add. With 10 direct funders covering the range, you should be able to get virtually any deal funded, and if you cant have an offer made, another 30 will not help.

[J.Celifarco]

Exactly, perfectly stated, nothing more to add. With 10 direct funders covering the range, you should be able to get virtually any deal funded, and if you cant have an offer made, another 30 will not help.

10?? I think I work with half that nd am able to get all the deals done that are supposed to get done.. I completely agree with this statement

[Jonathon]

How about the inexperienced sales folk at all these new wannabe Yellowstone "Direct lenders"..Everyday I get hit up by a new C-E paper lender, the last couple callers sounded like they were calling from Pakistan, they have trouble pronouncing "R", dead give aways.