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Big news in New York last week,
the legislature recently passed

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a commercial financing
disclosure law that is certain

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to shake up the small business
finance industry.

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We started drafting this bill
maybe over a year ago. And we

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worked with all parties to get
to the point where we are right

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now.

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Hello, everyone. And welcome
back to deBanked News. My name

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is Sean Murray. And the law I'm
referring to is likely to have

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the largest impact on factoring
companies and merchant cash

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advance providers. That's
because the law requires a

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mandatory APR disclosure, even
if the transactions are not

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loans. In fact, the law says if
you can't calculate an APR, you

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should estimate one. In fact,
the bill says the word

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"estimate" more than 20 times.
And now let's go over to Johny

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Fernandez.

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That's why this bill is
important. That's why New York

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leads

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Some industry participants are
calling the bill of victory.

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deBanked recently spoke with the
Innovative Lending Platform

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Association who helped draft the
bill. Scott Stewart, the head of

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the ILPA, told us the following

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I think we came through with
almost everything that we wanted

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to see. It's a it's a very, it
skews very closely to the

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smartbox. And we're very proud
of that. And I think that the

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collaboration with our partners
in the legislature, in the

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drafting as well as various
other groups really brought it

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to a place where you know where
it's going to be a tremendous

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success and have a great value,
we think to small businesses

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again.

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But not everything is clear,
unusual terminology remained in

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the final version of the bill
that is likely to create

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confusion.

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I've looked and I cannot find
any financial disclosure

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document anywhere in the United
States where the term "double

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dipping" is used. Now I know
what it means when you're at a

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party and someone does it with a
bowl of potato chips. Yep, I get

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that. But when it comes to
financial services, could you

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please tell me what we would use
"double dipping" for?

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Sean, well it is important to
note that the bill actually has

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to be signed by the governor and
then after that there will be a

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deliberation process. Now at
this point, this can take

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anywhere from a couple of months
to a couple of years to become a

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reality. Now the best piece of
advice for people affected by

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this is to seek advice or
counsel from either a trade

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association or law firm.

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Johny, had there been any
additional foot traffic out on

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Wall Street since the last
report in?

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Sean, no, there hasn't. And
actually, we were there this

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morning walking in the downtown
area on Wall Street and by the

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bull and it's the same story
there. Sean actually right next

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door to the Department of State
where I'm standing at is

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actually a restaurant. So we've
been here in this generic area

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on Wall Street and by the bull
and it's the same old story but

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like similar stories like this
restaurant, you can see that

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they're closed, you can see the
chains right here. They are

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locked and there are many signs
around this area that are

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announcing that these
restaurants are closed. And Sean

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and something else that I've
noticed that is completely gone

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is your hair.

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Well, I mean, to be fair to me,
it was my first haircut since

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March. But since I need to
defend myself, I'll tell you

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what, I will pull up a photo of
what I looked like when my hair

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was not all jumbled up, that if
you guys behind me will pull up

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the photo. I think you know
which ones I'm talking about. If

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you'll put it up on the screen.
It will show you what what my

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hair situation had gotten to, but
I must warn you it's not safe

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for all audiences. Yeah, there it is. 
Okay. See, see now my

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hair was a good foot up in the 
air. And that's not using

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any product. There's no gel
in there. That was how I woke up

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in the morning. So you have
to understand why I did what I 

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I did. And someone pointed
out to me earlier that the

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worst part of the picture isn't 
even the hair. It's the fact

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that I took a picture using a mirror
as if I had forgotten that phones

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have front facing cameras
So there's a lot of things wrong

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with that picture. I didn't 
intend to show it to you today

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But since Johny called me 
out on it, now the whole world has seen

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I guess that's why we've been
keeping you in the studio.

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Fair enough. Fair enough. You
got me. Okay. Well, we recently

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spoke to somebody who has
worked in the financial district

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for years. His name is Chad Otar, 
CEO of Lending Valley and he 

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has been holed up in of all places, Turkey.

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We came out here on March 3
for actually a week. For a wedding

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and my cousin was getting 
married to his high school

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weetheart. And we actually
got stuck since the whole entire

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pandemic started. So we've
been like I said from March 3,

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and today is what, July 24. And 
I'm still out here and I'm still

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waiting to get back home. But
Lending Valley's still been

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operational and I've been working
remotely. And actually Lending

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Valley doesn't even have an office
anymore as well. All of our

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guys are working remotely.

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When is Chad Otar the man
returning to America and getting

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American normalcy?

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Ah, honestly, I got used to this
life. I love it here. You know,

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there's one thing I love, you
have a better quality of life

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but unfortunately, as they say
all good things need to come to 

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an end

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We look forward to Chad's safe
return to the United States. Thank

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you for joining. I'm Sean Murray
with deBanked News