Alex Shvarts

We're going to negotiate for less, right?

That's the problem.

Because the merchants that really have a problem call us, we just lower the payments based on their sales.

We work with them.

So the defaults that we, and of course, from time to time, we're wrong and the merchant goes out of business.

And there's not that, you know, that's the risk we take, right?

But most of the defaults we see are, again, just people wake up one morning and decide they don't want to pay you because they either don't or someone convinced them they shouldn't.

So total...

I think trailing, it's about 12% to maybe 15% of the portfolio going to some type of a collection issue.

And then we work it out or we have to sue and then we get them back on track.

But the write-off is actually trailing about 6.8%.

Depending if you have expensive lawyers, but we've kind of worked out a policy and procedure on how we do this to make it cost effective.

If it goes out of business, we don't even sue.

Um, you, you could calculate it that way, but you're not going to have, um,

Yeah.

I mean, I would do it a little bit different.

I know.

I mean, so let's say your average factor, let's say, is 1.30, right?

Because we still kind of calculate an effect.

Let's say your average factor is 1.30.