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Q&A with Jackie Grimaud, Director of Underwriting & Credit Operations
Underwriting in the Merchant Cash Advance (MCA) space requires a unique blend of analytical precision, adaptability, and human intuition. In this Q&A, we explore our Director of UW’s thoughtful approach to credit policy, risk assessment, and decision-making in a fast-paced, high-volume environment. From navigating “gray area” files to leveraging automation while preserving human judgment, her insights offer a compelling look into what it takes to underwrite deals that balance both performance and purpose.
Q: Can you walk us through your approach to building and maintaining credit policy in an MCA environment?
A: When it comes to building policy, I’m learning from some great mentors who’ve been in this space for a long time. I’m continuously gaining a better understanding of where we can tighten or loosen the reins to build a policy that limits risk while still approving performing and profitable deals. I truly believe that really knowing your policy allows you to maintain a standard of underwriting while still incorporating human judgment into every unique deal.
Q: How do you assess risk when evaluating a merchant’s file beyond the standard metrics?
A: Beyond the submission package, I love doing a deep dive using online sources. I try to understand what a business does, the efforts they’ve made to grow, expand their clientele, and put themselves out there. I also look for insight into the owner or merchant’s character through online reviews, articles, and other available sources.
Q: What data points do you consider most critical when deciding to approve or decline a deal?
A: Besides the obvious—cash flow and credit profile—nowadays everything is online, and I think it’s important (in most cases) for a business to have some kind of online presence.
Q: How do you balance growth and risk in a high-volume underwriting environment?
A: Coming from the mortgage industry and “traditional” consumer financing, it was a huge adjustment to join a startup in such a fast-paced industry. My previous background conditioned me to be very risk-averse, so learning that risk is not only necessary but manageable has been the biggest area of personal growth for me.
Q: What’s your process when you come across a “gray area” file that doesn’t clearly meet or fail guidelines?
A: What I love most about the MCA space and being an underwriter is the human element. The submissions we receive are just small pieces of a business. As an underwriter, it’s like solving a puzzle—looking at all the pieces until the story starts to make sense. You begin to understand the merchant: what they do, how they started, where they’ve faced setbacks or celebrated victories—and ultimately decide if you’ll be a part of their story and growth.
Q: How have you managed or updated underwriting guidelines in response to shifts in the market or economy?
A: Our team constantly monitors trends we see in submissions along with real-world events. We come together and have healthy conversations about whether and how these events may affect the way we conduct business. Based on those discussions, we make thoughtful adjustments to our guidelines.
Q: How do you train and develop underwriters to improve consistency and accuracy across the board?
A: Our team has strong communication. Staying on the same page about industry changes, policy updates, and the world around us has been crucial. We also bounce ideas off one another when a second pair of eyes is needed. Knowing your credit policy is essential—but equally important is knowing when to ask questions when something feels ambiguous.
Q: What tools or platforms have you found most effective in underwriting and credit evaluation?
A: We use several great tools and vendors, but my favorite has to be Heron. We use it across several touchpoints—from automatically parsing applications and performing anti-fraud checks to, my personal favorite, doing the math on bank statements. I still classify transactions with the human element, but no calculator is needed. Plus, their customer service is excellent.
Q: How do you collaborate with sales, funding, and collections to ensure alignment across departments?
A: Our departments collaborate daily—communication and efficiency are key. As an underwriter, it’s my job to make sure I’ve collected all the pertinent information collections might need later, to give sales a quick but fair decision, and to be as detail oriented as possible when reviewing something before funding. Underwriting is the final line of defense before a deal is funded.
Q: What’s your philosophy on automation in underwriting? Where do you draw the line between tech and human judgment?
A: Some aspects of underwriting can absolutely be automated—but all deals still require human judgment. I don’t think there’s necessarily a hard line, but automation should be viewed as a tool for efficiency. It will never replace the need for thoughtful, human evaluation.