Affirm Highlights Steady Demand, Strong Funding Markets and Rapid Affirm Card Growth in Q&A Call

In discussing how Affirm might respond to a more contractionary environment, management framed tightening as primarily removing loans that are “break even or better” at the low end of the credit spectrum within many large merchant programs. As a result, the company said it would expect a slowdown in GMV under higher stress assumptions, but “pretty minimal” profitability headwinds because most profitability comes from the middle to upper portions of its credit spectrum.Affirm emphasized that it underwrites “ ...