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Strategies & Market Trends : Value Investing -- Ignore unavailable to you. Want to Upgrade?

To: E_K_S who wrote (78561)	11/19/2025 12:35:12 PM
From: Sean Collett	1 Recommendation Recommended By E_K_S Respond to of 78748

RE: PYPL It's a sale from my reading and once the sale is done after some cut-off period then KKR (ALPS PARTNERS S.À R.L.) is responsible unless the loans were deemed to be fraudulent (unlikely). Paypal transfers all right, title, interest (ALPS PARTNERS S.À R.L.). Now Paypal still manages the customer relationship and services the loan and they then get paid a fee for doing so, but my understanding is KKR then takes any potential loss on their books. In my view it makes PYPL BNPL program look better because they can take cash and offload the risk. If the arrangement changes then it changes the risk profile for PYPL and in turn investors. -Sean

To: E_K_S who wrote (78561)	11/20/2025 6:20:54 AM
From: Madharry	1 Recommendation Recommended By E_K_S Read Replies (1) \| Respond to of 78748

it sounds like the most exposure kkr has at any time is $6 billion, seems like pypl retains all the servicing for these loans and gets a fee for it. as far as using fcf to reduce debt, i dont agree, I think if pypl can use the money to grow 14% instead of 12% a year that is a much more favorable outcome for shareholders, I just pulled the 14% out of thin air , not saying that is going to happen, but I think pypl continues to have opportunities to expand their business, so they should do that . what is nice about paypal is that the share count has declined in each of the past three years so the share buy backs are real, OT this talk of an AI bubble is beyond ridiculous, I heard the term used on Bloomberg about 20 times in 5 minutes. AI is and will revolutionize business education health, it accesses info in seconds that could have taken me an hour to find, It edits and produces material that could have taken hours of rewrites, Of course with any technological innovation there will be lots of entrants and few survivors but that does not make it a bubble, I think open AI is pretty entrenched and expect them to be a survivor. That is one of the reasons I am holding onto my shares in Softbank and Suro, Because of AI Paypal can monitor its accounts credit in real time and we are talking 400 million accounts here, My friend told me he had a check he wrote reutned unpaid because the signature did not match his signature on file sufficiently so banks are now using ai for signature verification on checks