[Chambo]

Sure, nice job, well written.

Of course the captive funder has a shot at keeping the merchant's business and if the merchant is happy, they generally won't stray. Playing games with payoff and especially zero balance letters is just a weak move to begin with. Everyone I know in this biz puffs out their chest about what a great salesperson they are, as is the tendency of salespeople. You can't be above average or a star without some measure of ego. So, as the current funder, you have a free shot at keeping the merchant on your books. Or should I call it a penalty kick?

There's still an obstacle in the way, the competing broker, but you have the advantage. So, use your best sales skills to keep the client. Take your free shot, but if you miss, and the client still wants the letter, you've lost for one reason or another. Concede. Send the letter and let the merchant move on. All you do by withholding payoff letters, when the merchant is clearly going a different direction, is stack up a bad rep in the industry and a sour taste in the merchants mouth. You can't win them all, and you're not going to keep a client around by handcuffing them to your bumper.

this would be the professional approach, but alas, many in this industry are FAR from professional. When you have some lackey who only opens 2-4 accounts a month, they need to fee the bejesus out of them and hold on for dear life. Otherwise, they are back to working the salami rack at Uncle Sal's