GSI Securitization, Inc. (fka GSII)

[investwise4858]

snow, let me clarify:

I stated:

"The differences in percentages of discount, would be negotiated relative to the percieved risk of each transaction."

Translation:

The amount of money given to each client medical facility is only decided after intensive due diligence. Each facility has its own circumstances, patient demographics, insurance company mix (some insurance companies pay more per service than others), as well as other factors.

The model used to determine this amount was presented to Standard & Poors, and other well known rating agencies. GSI et al are following the advice and counsel of the agencies to the letter. They must, the funders would only act to fund a contract that meets these stringent requirements.

The post meant to advise that extraordinary care is taken by increasing the discount (the fee charged by GSI/Funder) too accomodate any percieved increased risk for a particular transaction. That extra discount is built in to protect GSI and the funders. It is called a "reserve" in this case.

Extra money is held in reserve escrow if the account looks difficult to collect relatively. This is a very important as it lessons any risk to nil. The reserve is not returned to the client until GSI and the funders involved are made whole.

Thank you for pointing out that weak sentence, I should have been more clear.