LENDING

I built PayPal to move money. I built Affirm because how people borrow money is fundamentally unfair.

Secured lending — using your car or home as collateral — drops rates from 300% to 20%. Same borrower, same risk, but the bank charges 15x more for unsecured. We said: that's insane, let's fix it.

We've lent over $10 billion and our default rate is close to zero. Not low — close to zero. That's not luck. That's credit intelligence powered by technology that traditional banks don't have.

Big banks use one credit model for everyone — a dry cleaner gets the same analysis as a hotel chain. We built bespoke models for every sector. A hotel has seasonality, occupancy rates, booking patterns. Our AI understands that.

FICO scores are a 30-year-old technology pretending to be modern. They ignore education, employment, and dozens of variables that actually predict whether someone will repay a loan.

We approve 27 percent more borrowers than traditional models and at lower interest rates. That is not a small improvement. That is a fundamentally different outcome for millions of people.

Banks do not lose money by approving bad borrowers. They lose money by rejecting good ones. Every person you wrongly deny is revenue you never see.

A man I do not trust could not get money from me on all the bonds in Christendom.

The path to profitability runs through lending. The charter lets us do that. No other neobank can say that.

Why should banks make 18% on credit cards when borrowers could pay 8% and investors could earn 6%?

We look to work with the group of lenders owning over half of the loan to extend maturities, supply new super senior capital, or both.

Compound is a protocol, not a company doing you a favor. The interest rate is set by an algorithm, not a banker.