Pearl Bernhard

"Reduced total LOC+Flex lines by 60% today via email"

As of Noon today they sent out an email (supposedly to all customers): "Update to your Flex Pay transaction limit" The amount available to you for Flex Pay transactions will be decreased soon. Starting on Oct 18, 2022, the total amount of your outstanding Flex Pay balance, together with your outstanding Line of Credit balance, cannot exceed your total credit limit which is a nice way to say: "Your total credit used to = $100k LOC + $150k LOC Flexpay, Total $250k, as of NOW it's just $100k for both LOC AND Flexpay, Total $100k credit" NET REDUCTION OF 60%!! I called to find out if this was something specifically related to our company and the rep assured me it was sent to all customers. I asked them to clarify how we can use our account reliably between now and the intended change date of 10/18 and gave some specific payments that we intended to direct to our Flexpay account, and was told basically "according to the new rules you're already over your limits and can't use Flexpay at all right now". To put things in perspective my LOC is at 75% and my Flexpay was at 60% of their limits, but their new rules and no fault of our own we're ALREADY past our limits and anything already on the way to Flexpay will be declined. I spoke with a nice representative for quite some time and explained how disruptive this is to our business, especially with effectually NO advanced warning. They claim the changes are effective next week but the rep made it clear that the new calculations are in effect NOW. I know how much of a headache this creates for my business which has grown to use the features of this service to effectively manage our cashflow, but fortunately we're well established and we'll get through this curveball, but I can't believe Fundbox would do something so irresponsible and financially perilous to their customers and not anticipate either the reaction or the shared increased risk it puts to both them and their customers. Poorly planned, executed and communicated, looking elsewhere.

Date of experience: May 27, 2022

• Useful7
• Share