I keep hearing people on the forum talking about selling ADVANCES at 2-5 points over the buy rate. Unless these are million $$ deals it is usually is a clue that they are in the wrong business and probably don't belong in sales at all. People who don't know how to sell flooding an industry will be the death of an industry if anything is.
The industry becomes A RACE TO THE BOTTOM-the winner makes the least amount of money and works the hardest.

I just hate hearing that regulation is coming because people sell high rates, the sky is falling and that the virtuous way to sell cash advance is to upsell by 2-5%. This kind of mark up on an advance ( not an APR program or consolidation which has other considerations involved) doesn't make sense as a rule unless you are the Walmart of MCA (if you are Congrats)

I sold 1 advance this year at under 5 points total profit -only because someone who didn't know how to sell an advance tried (and failed) to sell it by cutting out the profit. I beat out a broker who couldn't close him (his mealy lack of salesmanship was what drove the pricing down so low). After trying and failing to sell the advance at a rock bottom price he was nursing him along and trying to sell the merchant on waiting 3 months so he would be eligible to try for a low APR deal-probably thinking he was a hero for "educating the merchant to wait for the best possible program"
I explained to the merchant why this was a bad strategy. I paid attention to what he needed and got him the money because I explained the value of taking the money he needed when he needed it.

If he wants a low APR loan in 3 months who do you think he will have confidence in to get the job done? The person who "educated" the merchant about why he should take the money NOW when he needs it and got him what he was looking for or the guy who had his credit pulled a few times for nothing (because he didn't know how to sell the deal) then told him to wait 3 mo for something he couldn't guarantee?
( I will sell APR or low payout consolidations when they make sense for me, the company I am currently with and the merchant)
MOST cash advance deals in this business can be upsold 7 to 15 points by a broker/ sales person who actually knows how to sell-even if it is A paper.

If you have properly qualified your merchant you should know how to sell them at a profitable rate that will keep you and the industry going strong. Educating your merchant doesn't mean coaching them to pay you as little as possible. It means selling them on a program that makes sense for everyone.