Thanks for the explanation. What I mean by bad debt wiping out...

Thanks for the explanation.

What I mean by bad debt wiping out profits is to illustrate: if you are making a 5% financing margin- then you only need 5% of debts to go bad to eliminate that margin. As general proposition, financing margins are thin and it only takes little bits bad debt to wipe them.

I don't know the AFY business and am keen to learn, obviously market loves it at this stage. But it has this ring of almost too be good to be true as a proposition: very fast assessment credit, as an alternative to credit card, with very low bad debt accrued. Usually this kind of thing will crash on bad debt % problems, but maybe AFY have some winning formula for making this equation work that will be explained in time.