How has Pinwheel's service helped bridge the equity gap in employment verification and income access, and can you provide specific examples?

Let me give you examples of companies who are publicly listed. One of our biggest customers and in fact, they actually mentioned this in the last earnings call is Square, or Block, or technically Cash App. Cash App carries the majority of Block’s market cap, it's not the seller side.

The way that whole business runs is through direct deposits. It's the golden goose, that's how you drive a high loan-to-value (LTV) customer. We work with them and we're the sole provider in driving that growth and that conversion. I think they have 1.5 million direct deposit actives, and we're the engine driving those conversions for them. It's not like they can't exist without us, but they wouldn't be driving profitable customers at that type of scale without us. 

There's an example of a customer I can give you without saying their name, but I can describe what's happening. Then if you want to still talk about it you can. It's a buy now, pay later provider, which, at this point, no one wants to hear that term anymore because that thing is going nowhere. But it's actually a business that looks nothing like Affirm or these other companies as far as loss rates. I should say it looks nothing like Klarna, which has gross, gross loss rates. 

What they do is they say, “Hey, consumers who have FICOs of 550 or below cannot get access to any sort of affordable interest rate, and so, they have to resort to really predatory ones. We can offer you a buy now, pay later platform, where consumers can buy a microwave, AirPods, a computer, or what have you, and the only way that you can actually get the product is you have to connect your paycheck and make your direct deposits. Because by doing so, we can see a three times increase in repayment rates between Pinwheel and un-Pinwheel cohorts. Once you do that, then we'll resend the product and we'll ship it to you.” 

They're able to reduce risk so much with that construct that they can give these consumers very affordable APRs, and, at the same time, not have loss rates go out the window because of that access to paychecks that we enable.