This is an excellent response made by (not me) and I'm not giving the person's name, but it does say it all beautifully:
"The price of a service rendered is never the same as the cost of the service. A successful business that provides additional services at their client's requests calculates the cost of goods, the time involved to provide these services, adds a profit and then charges a price based on these three things.
If I take my car into the shop for a tune-up, I don't expect them to change my oil for the cost of the oil, since my car is already there. I pay for all of the services, including the profit margin on the oil and the labor.
It would be ludicrous for me to suggest such a thing to my car mechanic, just as it is for you to suggest it to signing agents.
You'd never ask FedEx to deliver extra packages to you for free just because they were going to be at your office anyway to deliver a single package to you. You'd never ask the appraiser to do a free appraisal, simply because he was going to be in the area anyway. You'd be embarrassed to ask the county recorder to drop their filing fees since you may well have several deeds to file on the same day. And if you told them you'd give them a discount on selected hotels if they would drop their fees, they'd laugh you out of the building.
But you would ask a signing agent to drop their fees to cost, because the industry does not respect signings agents. Being an unorganized labor group without a respected corporate structure, signing agents are considered the necessary evil to complete the loan process.
You message says that our "industry is extremely competitive". To compete in a competitive market, you must either reduce costs by offering reduced or inferior services, or maintain your profit margin and only hire the best service providers available. Your customers will be able to tell the difference. Can you?"
Me talking now: I do a 'few' for this co. and have not yet received this e-mail, tho' I know it's been around for about a week. I believe that they are targeting their high-volume NSAs. 10/mo. x $7 = $70 x 1,000 NSAS =$70,000/mo more in their pocket and out of ours.
Guess I'm asking what kind of volume you folks who have received this e-mail do with LSI?
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