[aseem]

“But think about the scenario of a loan officer talking to a prospective client. To software people, that looks like voodoo. The idea that you can sit across the table from somebody and get a read on their character is just nonsense."

This coming a Venture Capitalist...

[justincormack]

Either way, loan officers do not talk to clients much any more, it has all been automated. "Computer says no" etc.

[waterlesscloud]

Thanks in part to software I wrote! I feel like I've made such a useful contribution to society!

[misaelm]

That is mostly the case for consumer loans. For commercial lending, the parametric score is just one factor of the overall underwriting analysis which, among other things, has loan officers talking directly to clients about their businesses.

[larrys]

Agree "this coming from a VC" but at scale it makes more sense to have something like a community rating system (or algorithm) rather than having to make individual decisions face to face. Doesn't mean mistakes can't be made (by either the loan officer or the community or that it can't be gamed but it definitely provides a benefit)

Marc isn't investment in a large number (relatively) of entrepreneurs. He can afford to take the time to incorporate "across the table" into his decision making process.

(If I've misunderstood your point please let me know..)