Anger between a broker and lender
It would be remiss for me to go into the details of a case on which I have only second hand details but a major semi public row has broken out between a broker and a single invoice discounter over commission. The details can be found on linkedin
The broker is quite high profile and he clearly has no regrets burning his bridges. The lender in question is one who I have used a number of times in the past but will no longer do so. The issue I had differed but was indicative of a serious attitude problem.
In this particular case the broker introduced the client to the lender. Commission was paid but after a period of time the borrower moved the facility to another lender. That didnt work out and they then returned to the original lender.
Nothing unusual except that upon the return (after a just a few weeks) the lender refused to resurrect the commission.
Being fairly substantial this angered the broker.
A grey area maybe but the lender in question will clearly not get any further leads in what is a competitive market and has found themselves to be publicly outed on a linkedin group used by many brokers and many in the industry
You can work out for yourself whether that was a good decision
It will be interesting to see how this develops
