2 ms·

Can you detail a bit more? What funds? what do they do exactly?

• JumpCrisscross 2y ago
  > what do they do exactly? Businesses have customers whose cards have been declining, e.g. someone who used Privacy.com to rotate the card number but never actually cancelled their contract. The fund buys those claims for unpaid bills for pennies on the dollar. They then send collection notices to collect those bills. If you don’t pay, it goes to collections, which is reportable to the credit reporting agencies. Came up in a personal discussion where I admitted I sometimes do this with my Apple Card.
  • ethbr1 2y ago
    Makes (insane) financial sense. Essentially the same business model as medical junk debt and patent trolling.