Nick and I were talking today about our home loans website and discussing the fact that 2/3 of the people who use the contact form or call the phone number on it do not have good enough credit scores to get a home loan.
We were losing money on all these people who called in and were quite annoyed that we had to deal with them, when we realized that there is a whole industry of businesspeople out there who would love to talk with exactly the people we didn’t want:
Credit repair companies. Credit repair companies offer services to help people boost their credit scores through a variety of strategies and tactics so that they can take out home loans, rent cars and that sort of thing.
Nick and I are now going to sell these leads to credit repair companies, who will then help the people with poor credit get better scores, and then send them back to us to get home loans.
This is one example of how creative entrepreneurs can work to make the pie bigger for everyone:
- We make money selling the bad credit leads to the credit repair companies
- Credit repair companies get more customers
- People with bad credit get better credit scores
- People with formerly bad credit now can get home loans
- Nick and I make money off the home loan