When extend and pretend is a virtue

Beyond the Upstart jargon

Just a short post to ask a simple question about Upstart. ($UPST - disclosure:short).

In their prepared remarks for the earnings they state that they have improved their processes by extending more loans for delinquent payers. To quote:

Beyond the technology, the work we’ve done to prioritize direct collections efforts for borrowers at risk of default have continued to have a meaningful impact. For example, in Q1 we realized a 50% increase in debt settlement acceptances by extending repayment terms for at-risk borrowers.

So they extended 50% more loans in the first quarter.

So what was the delinquency before and after this extension? How many loans were extended?

For a subprime and near-prime consumer lender why isn’t this just “extend and pretend”?

Why is it a virtue?

I went looking for these numbers. I could not find them.

If you are investing in Upstart loans you should at least seek this disclosure first.

John