[abfunders]

I called an ISO shop today about becoming an independent referral partner they constantly post traditional this, that and everything on fb. They have a lot of great google reviews regarding their traditional "banking" services and also do a lot of MCA they say. Anyway, I asked about the bank line of credit and was told they have friends in banking positions they refer qualified merchants to letting them keep whatever fees they make originating the lines through bank for themselves while the ISO is charging another 10% of total line off the line itself when funded by way of ACH/PSF. Is this legit? Might be idk. Is it legit as well to be charging PSFs for regulated bank related products without a license etc? It was out of the box to me just trying to see if legitimate in general.

What Elon said, except I'll add that that doesn't apply to primary-residence real estate, where you actually do need a license. You can charge whatever fee agreement you want with your clients, and help them walk them to the banks. I've been doing this for 6 years and I work through other partners, because doing it in-house turns you into a one-trick-pony. It's a massive amount of work.

And like Elon said, you have to be very careful with the SBA. There are laws on that.

But yeah, banks don't pay referral fees on their LOCs, you need a fee agreement for that, that the banks may actually honor. There are NON banks that do that, but they're charging 18%+.