Keith Jezek: No. We haven’t and they have been with us over the years since 2017. But they are not our largest carrier.
Mike Grondahl: Got it. Okay. Many thank you.
Keith Jezek: Yeah. Thanks, Mike.
Operator: Our next question comes from the line of Spencer James with William Blair. Please proceed with your question.
Spencer James: Hi. Thanks for taking the question. This is Spencer on for Bob Napoli. The core non-refi non-OEM starts were a bit stronger seasonally than we anticipated. Could you talk about what customer activity is driving that and maybe how we should think of mix of certs between OEMs, refi and core for your March quarter guide?
Chuck Jehl: Yeah. Obviously, maybe start with the refi. I think Keith in our prepared comments, our refi business is down, obviously, with seven rate hikes in 2022 and then one already in 2023, that severely impacted our refinance channel there. So it was 43% Feb of 2022, and as low as, call it, 11% in December. So, if you think about year-over-year, Spencer, the core non-OEM business, if you will, is up 16%, which we will be pleased to see. In fourth quarter, it was down, but obviously, the — when we revised the guide for the year, that was taken into consideration in the liquidity constraints on our large customers primarily. And as we think about going forward, I think, the OEMs are on track to continue at the pace they are and we believe we have hopefully through and are going to be adding more to us as we go forward.
But the mix of the business is hard to say right now with not giving a full year outlook and we are learning each day on kind of where we are heading here. But maybe Keith has something to add more about the kind of the non-core versus core customers.
Keith Jezek: Yeah. I mean we are encouraged by the growth of just the large majority of our customers and look forward to that continued participation in the program in 2023.
Chuck Jehl: Correct.
Spencer James: Okay. Thank you for the color. And as a follow-up, average program fee per cert has continued to improve and it looks like the improvement in program fee per cert has somewhat lagged the increase in average loan size. Could you talk about what drives the lag in program fee versus loan side? Is it a lag or is there another — is there a mix related component that I am missing?
Chuck Jehl: No. I think it’s more of a mix related component, because it’s — our program fee is based on a percentage of the loan amount. So there wouldn’t be a lag there. Larger volume customers get a discount there on the program fee, Spencer. So it’s just really a mix and lower concentration in some of our larger customers that got — did more volume in the past that brought that down a bit.
Spencer James: Okay. I appreciate it. And there’s been a ramp in program fee per set over the course of the year. Should we expect that to be primarily correlated with loan size for 2023 or are there other factors to consider?
Chuck Jehl: Yeah. I think so.
Spencer James: Appreciate it. Thank you.
Chuck Jehl: Thanks, Spencer.
Operator: There are no further questions in the queue. I’d like to hand the call back to Keith Jezek for closing remarks.
