<PAGE>
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                    U.S. SECURITIES AND EXCHANGE COMMISSION

                              WASHINGTON, DC 20549

                            ------------------------

                                   FORM 10-Q

            QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(D) OF THE
                        SECURITIES EXCHANGE ACT OF 1934

                 FOR THE QUARTERLY PERIOD ENDED MARCH 31, 2000

                            ------------------------

                        COMMISSION FILE NUMBER: 0-18108

                            ------------------------

                                FINET.COM, INC.

             (Exact name of registrant as specified in its charter)

                                    DELAWARE
            (State or jurisdiction of incorporation or organization)

                         R2527 CAMINO RAMON, SUITE 200
                              SAN RAMON, CA 94583
                    (Address of Principal Executive Office)

                                   94-3115180
                      (IRS Employer Identification Number)

                                 (925) 242-6550
              (Registrant's telephone number, including area code)

                            ------------------------

    Indicate by check mark whether the registrant has (1) filed all reports
required to be filed by Section 13 or 15(d) of the Securities Act of 1934 during
the preceding 12 months (or for such shorter period that the registrant was
required to file such reports), and (2) has been subject to filing requirements
within the past 90 days.

                                Yes /X/  No / /

    As of May 8, 2000, 94,585,405 shares of the Registrant's Common Stock, $.01
par value were issued and outstanding.

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<PAGE>
INDEX

                         PART I--FINANCIAL INFORMATION

<TABLE>
<CAPTION>
ITEM                                            DESCRIPTION                             PAGE
----                                            -----------                           --------
<C>                     <S>                                                           <C>
    1.                  Unaudited Condensed Consolidated Financial Statements:

                        Condensed Consolidated Balance Sheets
                          March 31, 2000 and December 31, 1999......................      3

                        Condensed Consolidated Statements of Operations
                          Three Months Ended March 31, 2000 and March 31 1999.......      4

                        Condensed Consolidated Statements of Cash Flows
                          Three Months Ended March 31, 2000 and March 31, 1999......      5

                        Notes to Condensed Consolidated Financial Statements........      6

    2.                  Management's Discussion and Analysis of Financial Condition
                          and Results of Operations.................................     12

    3.                  Quantitative and Qualitative Analysis of Market Risk........     16

                             PART II--OTHER INFORMATION

    1.                  Legal Proceedings...........................................     17

    6.                  Exhibits and Reports on Form 8-K............................     17

                        Signatures..................................................     18
</TABLE>

                                       2
<PAGE>
PART I. FINANCIAL INFORMATION

ITEM 1. FINANCIAL STATEMENTS

                        FINET.COM, INC. AND SUBSIDIARIES

                     CONDENSED CONSOLIDATED BALANCE SHEETS

                             (AMOUNTS IN THOUSANDS)

<TABLE>
<CAPTION>
                                                               MARCH 31     DECEMBER 31
                                                                 2000          1999
                                                              -----------   -----------
                                                              (UNAUDITED)
<S>                                                           <C>           <C>
                           ASSETS
Cash and cash equivalents...................................    $ 17,703     $ 18,626
Restricted cash.............................................         400       10,403
Available for sale marketable equity securities, cost basis
  of $0 and $0, respectively................................       2,030        2,674
Accounts and notes receivable, net of allowances of $1,388
  and $1,793................................................       1,195        2,363
Mortgages held for sale, net................................      38,397       78,691
Furniture, fixtures & equipment, net........................       3,465        4,471
Goodwill, net of accumulated amortization of $430 and
  $240......................................................       1,567        1,757
Other assets................................................       1,308          823
                                                                --------     --------
  Total assets..............................................    $ 66,065     $119,808
                                                                ========     ========
            LIABILITIES AND STOCKHOLDERS' EQUITY
Liabilities:
Warehouse and other lines of credit.........................    $ 36,158     $ 80,453
Accounts payable............................................         495        2,379
Notes payable and capitalized leases........................         110          141
Accrued expenses and other liabilities......................       5,027        6,462
                                                                --------     --------
  Total liabilities.........................................    $ 41,790     $ 89,435

Commitments and contingencies

Stockholders' equity:
Common stock, par value $.01 per share (150,000 shares
  authorized, 94,168 and 93,441 shares issued and
  outstanding at March 31, 2000 and December 31, 1999,
  respectively).............................................    $    941     $    934
    Additional paid-in capital..............................     101,973      100,943
    Accumulated deficit.....................................     (79,748)     (73,208)
    Other comprehensive income..............................       1,109        1,704
                                                                --------     --------
    Total stockholders' equity..............................      24,275       30,373
                                                                --------     --------
      Total liabilities and stockholders' equity............    $ 66,065     $119,808
                                                                ========     ========
</TABLE>

                            See accompanying notes.

                                       3
<PAGE>
                        FINET.COM, INC. AND SUBSIDIARIES

                CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS

                             (AMOUNTS IN THOUSANDS)

<TABLE>
<CAPTION>
                                                              THREE MONTHS ENDED
                                                              -------------------
                                                              MARCH 31   MARCH 31
                                                                2000       1999
                                                              --------   --------
                                                                  (UNAUDITED)
<S>                                                           <C>        <C>
Revenues....................................................  $ 2,871    $  2,430
Cost of revenues............................................    1,713       8,702
                                                              -------    --------
Gross profit (loss).........................................    1,158      (6,272)
Operating expenses
  General and administrative................................    5,019       5,277
  Marketing and advertising.................................      864         735
  Depreciation and amortization.............................      494         239
  Special charges...........................................    1,299       4,110
                                                              -------    --------
    Total expenses..........................................    7,676      10,361
                                                              -------    --------

Loss from operations........................................   (6,518)    (16,633)
                                                              -------    --------
In-substance preferred dividend.............................       --         353
                                                              -------    --------
Loss before income taxes....................................   (6,518)    (16,986)
Income tax expense..........................................       22          --
                                                              -------    --------
Net loss....................................................  $(6,540)   $(16,986)
                                                              =======    ========

Basic and diluted net loss per common share.................  $ (0.07)   $  (0.24)
                                                              =======    ========

Weighted average common shares used in computing basic and
  diluted net loss per common share.........................   93,764      70,381
                                                              =======    ========
</TABLE>

                            See accompanying notes.

                                       4
<PAGE>
                        FINET.COM, INC. AND SUBSIDIARIES

                 CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOW

                             (AMOUNTS IN THOUSANDS)

<TABLE>
<CAPTION>
                                                              THREE MONTHS ENDED
                                                              -------------------
                                                              MARCH 31   MARCH 31
                                                                2000       1999
                                                              --------   --------
                                                                  (UNAUDITED)
<S>                                                           <C>        <C>
OPERATING ACTIVITIES:
Net loss....................................................  $ (6,540)  $(16,986)
Adjustments to reconcile net loss to net cash used in
  operating activities:
  Depreciation and amortization.............................       495        571
  Compensation attributable to warrant issuance.............       106         --
  Asset valuation adjustments...............................     1,299      5,143
  Changes in operating assets and liabilities:
    Decrease in restricted cash.............................    10,003         --
    Decrease in mortgage loans held for sale................    40,294     38,721
    Decrease in receivables from sales of mortgage loans,
      servicing rights and other receivables................       932      2,604
    Decrease in other assets................................        50        556
    Decrease in warehouse borrowings........................   (44,295)   (39,404)
    Decrease in accounts payable and accrued expenses.......    (3,319)    (1,838)
                                                              --------   --------
Net cash used in operating activities.......................      (975)   (10,633)

INVESTING ACTIVITIES:
Purchase of furniture, fixtures and equipment...............      (598)      (429)
Proceeds from sale of mortgage servicing rights.............       285         --
                                                              --------   --------
Net cash used in investing activities.......................      (313)      (429)

FINANCING ACTIVITIES:
Proceeds from issuance of common stock, net of expenses.....      (160)    13,980
Proceeds from the exercise of common stock warrants and
  options...................................................       556          6
Redemption of preferred stock...............................        --     (2,500)
Repayment of 3% Convertible Debenture.......................        --     (1,500)
Repayment of note payable, capitalized leases and line of
  credit....................................................       (31)      (941)
Other equity................................................        --         21
                                                              --------   --------
Net cash provided by financing activities...................       365      9,066
                                                              --------   --------

Net decrease in cash........................................      (923)    (1,996)
Cash at beginning of period.................................    18,626      7,418
                                                              --------   --------
Cash at end of period.......................................  $ 17,703   $  5,422
                                                              ========   ========
</TABLE>

                            See accompanying notes.

                                       5
<PAGE>
                        FINET.COM, INC. AND SUBSIDIARIES

              NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

NOTE 1.  THE COMPANY

ORGANIZATION

    FiNet.com ("FiNet" or "the Company") is a provider of mortgage services to
mortgage broker businesses and consumers, including online mortgage services.
The Company primarily markets its business to business services to mortgage
brokers, and to consumers through marketing agreements with general interest
websites and co-branding arrangements with financial services websites. FiNet
operates its consumer-direct and business-to-business segments through Monument
Mortgage, Inc. ("Monument"), which is licensed to originate and fund mortgage
loans in 49 states and the District of Columbia. The majority of Monument's
business activity is carried out in California.

NOTE 2.  BASIS OF PRESENTATION

INTERIM FINANCIAL INFORMATION

    The accompanying financial statements as of March 31, 2000 are unaudited.
The unaudited interim financial statements have been prepared on the same basis
as the annual financial statements and, in the opinion of management, reflect
all adjustments, which include only normal recurring adjustments, necessary to
present fairly the Company's financial position, results of operations and cash
flows for the period ended and as of March 31, 2000. The results for the three
month period ended March 31, 2000 are not necessarily indicative of the expected
results for the year ending December 31, 2000.

USE OF ESTIMATES

    The preparation of financial statements in conformity with generally
accepted accounting principles requires management to make estimates and
assumptions that affect the reported amounts of assets and liabilities and
disclosure of contingent assets and liabilities at the date of the financial
statements and the reported amounts of revenues and expenses during the
reporting period. Actual results could differ from those estimates.

    The balance sheet at December 31, 1999 has been derived from the audited
financial statements at that date but does not include all of the information
and footnotes required by generally accepted accounting principles for complete
financial statements.

    For further information, refer to the consolidated financials statements and
notes thereto included in the Company's Annual Report on Form 10-K for the
period ended December 31, 1999.

RECLASSIFICATION

    Certain amounts in the prior quarter period financial statements have been
reclassified consistent with the current quarter presentation.

REVENUE RECOGNITION

    Lending transaction fees are deferred until the related loan is sold. Upon
sale of the loan, deferred transaction fee income and deferred transaction
expenses are recognized and included in gain on sale of mortgage loans.

    Loan servicing fees represent fees earned for servicing loans for various
investors. The fees are either based on a contractual percentage of the
outstanding principal balance or a fixed dollar amount per loan. Fees are
credited to income when the related payments are received.

                                       6
<PAGE>
                        FINET.COM, INC. AND SUBSIDIARIES

        NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED)

NOTE 2.  BASIS OF PRESENTATION (CONTINUED)
    Loan brokerage fees represent fees earned by the Company's consumer-direct
segment for the processing of mortgage loan applications for third party
lenders. The fees for providing these services are recognized at such time as
the lender funds the loan.

    Realized gains on sales of available-for-sale marketable equity securities
relate to sales of securities obtained from a joint venture partner for
providing technology services to the venture.

    The Company's revenue components for the period ended March 31 are:

<TABLE>
<CAPTION>
                                                           THREE MONTHS ENDED
                                                           -------------------
                                                           MARCH 31   MARCH 31
                                                             2000       1999
(Unaudited)                                                --------   --------
                                                             (IN THOUSANDS)
<S>                                                        <C>        <C>
Revenues:
Warehouse interest income................................   $1,087     $  723
Gain on sale of servicing rights and mortgage loans......      157        506
Loan servicing fees......................................       --        333
Loan brokerage fees......................................      127        798
Realized gains on sales of available for sale marketable
  equity securities......................................    1,321         --
Other....................................................      179         70
                                                            ------     ------
Total revenues...........................................   $2,871     $2,430
                                                            ======     ======
</TABLE>

COST OF REVENUE

    Certain loan origination costs and other production costs attributable to
inventory are included in "Cost of revenues" in the Company's Consolidated
Statement of Operations. The Company includes costs of personnel attributable to
loan production, expense recorded for loan and receivables losses directly
related to loans and servicing assets held for sale, interest expense and other
costs of production. Direct loan origination costs are deferred until the
related loan is sold. Certain of these direct costs are included in gain on sale
of mortgage loans and other costs are included in cost of revenues.

NOTE 3.  MORTGAGE SERVICING RIGHTS

    Mortgage servicing rights and the related valuation allowance activity were
as follows:

<TABLE>
<CAPTION>
                                                           MARCH 31   MARCH 31
                                                             2000       1999
(Unaudited)                                                --------   --------
                                                             (IN THOUSANDS)
<S>                                                        <C>        <C>
Balance at beginning of year.............................              $3,978
Adjustment to basis......................................      --        (319)
Scheduled amortization...................................      --        (164)
Impairment additions charged to operations...............      --      (1,675)
                                                            -----      ------
Ending balance...........................................   $  --      $1,820
                                                            =====      ======
</TABLE>

    In 1999, the Company determined that servicing loans would not be a part of
on-going operations and sold the servicing rights portfolio in July of 1999.

                                       7
<PAGE>
                        FINET.COM, INC. AND SUBSIDIARIES

        NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED)

NOTE 4.  BORROWING ARRANGEMENTS

    Borrowing arrangements consist of the following:

<TABLE>
<CAPTION>
                                                        MARCH 31   DECEMBER 31
                                                          2000        1999
                                                        --------   -----------
                                                            (IN THOUSANDS)
<S>                                                     <C>        <C>
WAREHOUSE AND OTHER LINES OF CREDIT
Warehouse lines of credit:
  $75 million committed, bearing interest at LIBOR +
    variable spread, expires May 31, 2000.............  $36,158      $73,125
Purchase/Repurchase agreements:
  $10 million, bearing interest at prime..............                    12
  $15 million, bearing interest at Fed Funds + 0.70%,
    no expiration date................................       --        7,316
                                                        -------      -------
                                                        $36,158      $80,453
                                                        =======      =======

NOTES PAYABLE AND CAPITALIZED LEASES:
  Notes and capital leases (various rates)............  $   110      $   141
                                                        -------      -------
                                                        $   110          141
                                                        =======      =======
</TABLE>

WAREHOUSE LINES OF CREDIT

    The Company's primary warehouse borrowing facility provides the Company with
a committed $75 million warehouse borrowing facility and carries an interest
rate of LIBOR plus 1.75%. The agreement expires on May 31, 2000. The Company
expects to renew its lending relationship with its primary warehouse lender;
however, no assurances can be made that the agreement will be renewed. For the
three month periods ended March 31, 2000 and 1999, the Company recorded
warehouse interest expense of $509,000 and $1,206,000, respectively. Warehouse
interest expense is included in the Condensed Consolidated Statement of
Operations in "Cost of revenues". Borrowings under this warehouse facility are
secured by the mortgages held for sale thereby financed. At March 31, 2000 and
December 31, 1999, LIBOR was 6.13% and 6.49%, respectively.

    The Company's available credit lines also include a $15 million
purchase/repurchase agreement with Fannie Mae's "As Soon as Pooled/Early
Purchase Option" (the "ASAP Plus" program). Under the ASAP Plus program, Fannie
Mae funds the Company on the loans delivered to them upon receipt of appropriate
mortgage collateral. Fannie Mae subsequently purchases the mortgage loans for
cash upon receipt of complete and accurate mortgage pool and other
documentation.

WAREHOUSE FACILITY COVENANTS

    The agreement for the warehouse line of credit contains various financial
covenants including minimum net worth, current ratio, tangible net worth, and
leverage ratio requirements. Should an event of default occur, as defined in the
agreement, outstanding principal and interest are due on demand. At
December 31, 1999, the Company was in default of its primary warehouse lending
agreement, as a liability growth rate covenant was violated. During the first
quarter of 2000, the lender waived the default. The Company is in compliance
with its lending agreement covenants at March 31, 2000.

                                       8
<PAGE>
                        FINET.COM, INC. AND SUBSIDIARIES

        NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED)

NOTE 5.  COMMITMENTS AND CONTINGENCIES

LITIGATION

    On January 14, 1998, prior to the Company's acquisition of Mical, a lawsuit
was filed against Mical in the United States District Court for the Middle
District of Georgia. The complaint alleges, among other things, that in
connection with residential mortgage loan closings, Mical made certain payments
to mortgage brokers in violation of the Real Estate Settlement Procedures Act
and induced mortgage brokers to breach their alleged fiduciary duties to their
customers. The plaintiffs seek unspecified compensatory and punitive damages as
to certain claims. Management believes that its compensation programs for
mortgage brokers comply with applicable laws and with long standing industry
practices. The Company intends to defend vigorously against this action and
believes that the ultimate resolution will not have a material adverse effect on
its business, results of operations and financial condition.

    On April 16, 1999, a lawsuit was filed in the Superior Court of the State of
California, County of San Francisco by a former director and officer of
FiNet.com against FiNet.com and one of its then current and now former
directors. The complaint alleges, among other things, that the plaintiff and the
Company's then current director entered into an oral contract, wherein they
agreed to share all profits from bonus shares that were issued to either party
under certain specific circumstances. It is further alleged that the Company
issued to the then current director 1,800,000 shares of stock and that the
Company's then current director failed to provide the plaintiff one-half of the
stock, or 900,000 shares. The plaintiff seeks to recover 900,000 shares of the
Company's common stock and punitive damages as to certain of the claims.
FiNet.com and the Company's then current director have each filed a general
denial of all claims. The Company intends to defend vigorously against the
action and believes that the ultimate resolution will not have a material
adverse effect on its business, results of operations or financial condition.

    On December 16, 1999, a lawsuit was filed in the Judicial District Court of
Dallas County, Texas, by FC Capital Corp. d/b/a FirstCity Capital Corporation
("First City"). The complaint alleges breach of contract by Coastal Federal
Mortgage ("Coastal") for failure to repurchase loans in accordance with the
terms and conditions of a purchase agreement entered into by Coastal and First
City in March 1998. The plaintiff has named Finet as a defendant alleging that
Finet assumed all of Coastal's debts and obligations when Finet acquired Coastal
in April 1998. The plaintiff seeks to recover actual damages in the amount of
$1.7 million and premium rebates in the approximate amount of $26,000. The
action was removed to the United States District Court, Northern District of
Texas, Dallas Division on January 18, 2000 and the Company has since filed
procedural motions. Management intends to defend vigorously against the action
and believe that the ultimate resolution will not have a material adverse effect
on the Company's business, results of operations or financial condition.

    The Company and certain subsidiaries are defendants in various other legal
proceedings. Although it is difficult to predict the outcome of such cases,
after reviewing with counsel all such proceedings, management does not expect
the aggregate liability, if any, resulting therefrom, will have a material
adverse effect on the consolidated financial position or results of operations
of the Company and its subsidiaries.

NOTE 6.  EMPLOYEE STOCK PURCHASE PLAN

    During the first quarter of 2000, the Company implemented the Company's 1999
Employee Stock Purchase Plan ("the Plan") under which all employees, including
executive officers, may purchase stock at a discount to the market price.
Employees pay for their stock purchases through payroll deductions at a

                                       9
<PAGE>
                        FINET.COM, INC. AND SUBSIDIARIES

        NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED)

NOTE 6.  EMPLOYEE STOCK PURCHASE PLAN (CONTINUED)
rate equal to two to ten percent of earnings. Shares issued under the plan are
immediately vested. There are 500,000 shares reserved for issuance under the
Plan. As of March 31, 2000, there are no shares issued under the Plan.

NOTE 7.  SPECIAL CHARGES

    During the quarter ended March 31, 2000, the Company replaced certain loan
origination and tracking software and systems. As a result, during the quarter
ended March 31, 2000, the Company expensed $1,299,000 of unamortized software
and systems costs related to the former system.

    Special charges recorded during the quarter ended March 31, 1999 relate to
the Coastal Federal Mortgage and Mical Mortgage business unit closures and to
the write-off of capitalized costs of software that would no longer be used in
the Company's continuing business strategy. In connection with Mical's closure,
the Company assessed the remaining goodwill balance relating to the acquisition
of that unit and determined that the amount was not recoverable from future cash
flows. Therefore, the remaining unamortized goodwill of $2,898,000 was expensed.
In addition, Mical recorded $642,000 of expense to recognize exit costs
primarily for occupancy lease costs and severance relating to employee
terminations in connection with the closure. The Company expensed $570,000
representing the unamortized balance of its Real Estate Office Software (REOS)
technology, upon determination that it would no longer employ this technology in
its future strategic direction.

NOTE 8.  SEGMENT INFORMATION

    The Company has adopted SFAS No. 131 "Disclosures about Segments of an
Enterprise and Related Information" which requires certain disclosures about
operating segments in a manner that is consistent with how management evaluates
the performance of the segment. The Company has identified two

                                       10
<PAGE>
                        FINET.COM, INC. AND SUBSIDIARIES

        NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED)

NOTE 8.  SEGMENT INFORMATION (CONTINUED)
reportable business segments: business to business and consumer direct.
Information related to the Company's reportable operating segments is shown
below.

<TABLE>
<CAPTION>
                                                              MARCH 31   MARCH 31
                                                                2000       1999
                                                              --------   --------
                                                                (IN THOUSANDS)
<S>                                                           <C>        <C>
Revenue
      Business-to-business..................................  $ 1,328    $  1,641
      Consumer-direct.......................................    1,543         789
                                                              -------    --------
Segment Revenue.............................................    2,871       2,430
      Corporate.............................................       --          --
                                                              -------    --------
                                                              $ 2,871    $  2,430
                                                              =======    ========
Operating income
      Business-to-business..................................   (4,183)    (11,394)
      Consumer-direct.......................................     (730)       (583)
                                                              -------    --------
Segment operating income....................................   (4,913)    (11,977)
      Corporate.............................................   (1,605)     (4,656)
                                                              -------    --------
                                                              $(6,518)   $(16,633)
                                                              =======    ========
Capital expenditures
      Business-to-business..................................      508         366
      Consumer-direct.......................................       30          21
                                                              -------    --------
Segment Capital expenditures................................      538         387
      Corporate.............................................       60          42
                                                              -------    --------
                                                              $   598    $    429
                                                              =======    ========
</TABLE>

<TABLE>
<CAPTION>
                                                              MARCH 31   DECEMBER 31
                                                                2000        1999
                                                              --------   -----------
<S>                                                           <C>        <C>
Identifiable assets
      Business-to-business..................................  $56,155     $101,837
      Consumer-direct.......................................    3,304        5,990
                                                              -------     --------
Segment Identifiable assets.................................   59,459      107,827
      Corporate.............................................    6,606       11,981
                                                              -------     --------
                                                              $66,065     $119,808
                                                              =======     ========
Long-lived assets
      Business-to-business..................................    2,945        3,800
      Consumer-direct.......................................      173          223
                                                              -------     --------
Segment long-lived assets...................................    3,118        4,023
      Corporate.............................................      347          448
                                                              -------     --------
                                                              $ 3,465     $  4,471
                                                              =======     ========
</TABLE>

                                       11
<PAGE>
ITEM 2.  MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS
         OF OPERATIONS

    WE HAVE MADE FORWARD-LOOKING STATEMENTS IN THIS QUARTERLY REPORT ON
FORM 10-Q THAT ARE SUBJECT TO RISKS AND UNCERTAINTIES. FORWARD-LOOKING
STATEMENTS INCLUDE INFORMATION CONCERNING OUR POSSIBLE OR ASSUMED FUTURE RESULTS
OF OPERATIONS. ALSO, WHEN WE USE SUCH WORDS AS "BELIEVE", "EXPECT",
"ANTICIPATE", "PLAN", "COULD", "INTEND", OR SIMILAR EXPRESSIONS, WE ARE MAKING
FORWARD-LOOKING STATEMENTS. YOU SHOULD NOTE THAN AN INVESTMENT IN OUR SECURITIES
INVOLVES CERTAIN RISKS AND UNCERTAINTIES THAT COULD AFFECT OUR FUTURE FINANCIAL
RESULTS. OUR ACTUAL RESULTS COULD DIFFER MATERIALLY FROM THOSE ANTICIPATED IN
THESE FORWARD-LOOKING STATEMENTS A RESULT OF CERTAIN FACTORS, INCLUDING THOSE
SET FORTH IN "FACTORS THAT MAY AFFECT FUTURE PERFORMANCE" AND ELSEWHERE IN OUR
ANNUAL REPORT ON FORM 10-K DATED DECEMBER 31, 1999.

    THE FOLLOWING DISCUSSION AND ANALYSIS OF OUR FINANCIAL CONDITION AND RESULTS
OF OPERATIONS SHOULD BE READ IN CONJUNCTION WITH OUR CONSOLIDATED FINANCIAL
STATEMENTS INCLUDED HEREIN, AND OUR ANNUAL REPORT ON FORM 10-K DATED
DECEMBER 31, 1999.

OVERVIEW

    FiNet.com is a full service, on-line mortgage banker that offers an
easy-to-use, one stop mortgage source for consumers and mortgage brokers. We
operate one of the first sites on the Internet that enables the consumer to
apply for and receive credit approval on-line, and to electronically search,
analyze and select from a wide variety of mortgage loan products and rates
offered by us and other lenders. We make the mortgage process easier and more
understandable, while maintaining quality service by controlling the consumer's
entire mortgage lending experience. We also provide on-line and e-commerce
technologies and loan process management tools to mortgage broker businesses to
enable them to compete more effectively with on-line and other national lenders
and brokers and to help their customers make better informed borrowing
decisions.

    We earn revenues through both the origination and sale of mortgage loans. As
a retail originator of loans, we generate loan origination income and
loan-related fees through loans funded and brokered by us. Our loan origination
income consists of origination points paid to us by borrowers or discount points
paid to us by wholesale lenders. Our loan-related fees consist of application,
documentation and processing fees paid by borrowers.

    On the loans that we sell, we generate revenues from net premium income and
interest income. Net premium income consists of the net gain on the sale of
mortgage loans and mortgage servicing rights. This net gain is recognized based
upon the difference between the combined selling price of the loans and their
related servicing rights, and the carrying value of the mortgage loans and
servicing rights sold. Interest income consists of the interest we receive on
our mortgage loans held for sale.

    Our costs and expenses related to revenues consist largely of:

    - interest paid under our warehouse credit facilities;

    - loan-related expenses, consisting of fees paid to third parties for
      appraisal and credit report services and reserves for potential loan
      repurchase and premium recapture obligations;

    - salaries, commissions and benefits paid to employees;

    - general and administrative expenses such as occupancy costs, office
      expenses and professional services; and

    - depreciation and amortization expense related principally to our
      facilities, computers and goodwill associated with our acquisitions.

                                       12
<PAGE>
IMPACT OF OUR DISCONTINUED UNITS-MICAL, COASTAL AND OUR SERVICING BUSINESS

    We incurred significant losses at both our Mical and Coastal subsidiaries in
1999. Management elected to discontinue these business units during the first
half of 1999. In addition, management determined that servicing loans would not
be a part of on-going operations and began preparing the servicing portfolios
for sale. The following table summarizes the impact these discontinued business
units had on our consolidated operating results for the three month periods
ended March 31, 2000 and 1999:

<TABLE>
<CAPTION>
                                                           MARCH 31   MARCH 31
                                                             2000       1999
                                                           --------   --------
                                                             (IN THOUSANDS)
<S>                                                        <C>        <C>
Revenues.................................................   $  31     $    692
Cost of revenues.........................................     209        7,407
                                                            -----     --------
Gross profit.............................................    (178)      (6,715)
Other expenses
      General and administrative.........................     345        2,007
      Marketing and advertising..........................      --           33
      Special charges....................................      --        3,540
      Depreciation and amortization......................      --          110
                                                            -----     --------
Total expenses...........................................     345        5,690
                                                            -----     --------
Loss from operations.....................................    (523)     (12,405)
Other interest expense...................................                   36
                                                            -----     --------
Net loss.................................................   $(523)    $(12,441)
                                                            =====     ========
</TABLE>

    We may incur additional losses from these discontinued business units, which
would be included in our consolidated results.

RESULTS OF OPERATIONS

QUARTER ENDED MARCH 31, 2000 COMPARED TO QUARTER ENDED MARCH 31, 1999

REVENUES AND VOLUMES

    Total loan volume for FiNet's production units for the three months ended
March 31 is summarized below.

<TABLE>
<CAPTION>
                                                          MARCH 31   MARCH 31
                                                            2000       1999
                                                          --------   --------
                                                            (IN THOUSANDS)
<S>                                                       <C>        <C>
Business to Business....................................  $130,134   $128,714
Consumer-direct.........................................    24,370     83,040
                                                          --------   --------
      Total Loan Volume.................................  $154,504   $211,754
                                                          ========   ========
</TABLE>

    Loan volume decreased $57.3 million, or 27%, to $154.5 million for the
quarter ended March 31, 2000 from $211.8 million for the quarter ended
March 31, 1999. Revenues increased $441,000, or 18%, to $2.9 million for the
quarter ended March 31, 2000 from $2.4 million for the quarter ended March 31,
1999. During the first quarter of 2000, we recorded $1.3 million of realized
gains from the sale of available for sale marketable equity securities, the only
asset held by a 100%-owned subsidiary of the Company. We expect this revenue to
recur for several quarters; however, the amount could increase or decrease
significantly. Excluding this gain, revenues decreased $880,000, or 36%, to
$1.6 million, due to decreases in volume associated with the units that closed
their operations.

                                       13
<PAGE>
    While volumes increased in our continuing unit's business-to-business
segment, significant volume decreases in our consumer-direct segment,
attributable to the increase in lending rates and a change in business focus,
more than offset the business to business increase. We expect to increase
revenues through the planned expansion of our sales force and increased emphasis
on the business to business segment through strategic relationships. However,
there can be no assurance that increased revenues will be achieved. In addition,
our quarterly revenues and operating results are likely to continue to vary
significantly.

COST OF REVENUES AND GROSS PROFIT

    Cost of revenues decreased $7.0 million, or 80% for the quarter ended
March 31, 2000 to $1.7 million from $8.7 million for the quarter ended
March 31, 1999. The decrease is due primarily to a significant decrease in loan
loss expenses recorded by the discontinued units during the first quarter of
1999 as well as a decrease at the continuing units, and a decrease in interest
expense.

    Warehouse interest expense decreased $697,000 or 58% to $509,000 for the
quarter ended March 31, 2000 from $1.2 million for the quarter ended March 31,
1999 primarily due to warehouse interest expense associated with the
discontinued units that was not incurred in 2000. Although volumes of the
discontinued units were insignificant during the first quarter of 1999, they
incurred interest expense on loans in inventory as those loans were being sold.
In addition, in 1999, we incurred significantly higher interest rates associated
with our warehouse lending default which were not incurred in the first quarter
of 2000.

GENERAL AND ADMINISTRATIVE

    Personnel costs and other general and administrative costs of our continuing
businesses decreased $277,000, or 5%, to $5.0 million for the quarter ended
March 31, 2000 from $5.3 million for the quarter ended March 31, 1999, due to
the terminated operations of the Coastal and Mical units in the March 1999
quarter, partially offset by increased professional services costs.

MARKETING AND ADVERTISING

    Marketing and advertising increased $129,000 or 17% to $864,000 from
$735,000 for the same quarter of the prior year. During the March 1999 quarter,
we had not launched our consumer-direct marketing campaign. This campaign was
launched in the second quarter of 1999 and continued throughout 1999. In the
quarter ended December 31, 1999, we significantly scaled back our
consumer-direct marketing campaign and wound down those programs in the first
quarter of 2000. Although marketing spending increased during the first quarter
of 2000 compared to the quarter ended March 31, 1999, when compared to the
quarter ended December 31, 1999, marketing and advertising costs have decreased
significantly. The Company expects to stabilize its marketing spending for the
remainder of 2000.

SPECIAL CHARGES

    During the first quarter of 2000, we replaced certain systems and software
and therefore expensed the remaining book value of the replaced systems and
software of $1,299,000.

    During the first quarter of 1999, we incurred charges of $2,898,000 to write
off the unamortized balance of the goodwill associated with the Mical
acquisition and charges relating to the write-off of our Real Estate Office
Software (REOS) of $570,000 when we determined that the REOS technology would no
longer be employed in our future strategy. In addition, Mical recorded $642,000
of charges primarily for severance relating to employee terminations and
occupancy lease costs in connection with its closure.

                                       14
<PAGE>
FINANCIAL CONDITION

    FiNet's stockholders' equity decreased $6.1 million to $24.3 million at
March 31, 2000 from $30.3 million at December 31, 1999 due to the Company's
losses and due to a decrease in Other Comprehensive Income due to the
recognition of gains on the sale of available-for-sale marketable equity
securities, offset by increases from issuance of common shares in connection
with stock option exercises.

    Our cash decreased by $923,000 to $17.7 million at March 31, 2000 from
$18.6 million at December 31, 1999, as the result of the use of cash for
operations and capital expenditures, offset by the collection of receivables,
sales of marketable equity securities and a reduction in amounts used to fund
mortgages held for sale.

    Warehouse borrowings decreased $44.3 million, or 55%, from $80.5 million at
December 31, 1999 to $36.2 million at March 31, 2000 corresponding to the
decrease in related mortgages held for sale inventory from volume decreases
during 2000, and the reduction of unusually high inventory balances existing at
December 31, 1999.

    Our ability to improve our financial condition through improved results of
operations is dependent on our ability to significantly increase loan
origination volumes, to achieve highly efficient operations, and to manage
warehouse and operating expenses given the level of volumes. Our financial
condition is further dependent on economic conditions such as the general health
of the economy and demand for mortgage loans. There can be no assurance that we
will be able to improve our financial condition through profitable operations.

LIQUIDITY AND CAPITAL RESOURCES

    The nature of the mortgage lending business requires us to advance cash on a
daily basis to fund newly originated loans. These funds are provided either
through conventional mortgage warehouse lines of credit, through "purchase
repurchase" arrangements, or through the use of our cash balances. Additional
cash resources, obtained primarily through the private placement of our common
stock are used to satisfy its obligations to lenders, to fund ongoing expenses
such as administration and marketing, to invest in product development and to
expand our business geographically. Currently operations are not generating
sufficient cash to meet our operating requirements.

    Operating activities including daily operating expenditures, repayment of
warehouse borrowings and funding new originations, used $1.0 million of cash
during the three months ended March 31, 2000. Our use of cash slowed as we
liquidated cash employed in our inventory of mortgages held for sale, collected
receivables and sold marketable equity securities.

    Our investing activities included investments of $598,000 in furniture,
fixtures and equipment and collections on our portfolio of servicing rights sold
in a prior period. We do not expect our capital spending to increase
significantly in the coming quarters.

    If we continue to maintain at least our current level of working capital
borrowing resources, we believe that our cash resources will be sufficient to
finance our minimum working capital requirements for the coming twelve months.
We do, however, expect that in the future we may need to arrange for additional
sources of capital through additional warehouse facilities or through the
issuance of debt or equity securities. We have no commitments for any additional
financings, and we cannot be sure that we will be able to obtain any such
additional financing at the times required and on terms and conditions
acceptable to us. In such event, our growth could slow and operations could be
adversely affected.

POTENTIAL FOR NASDAQ DELISTING

    There are several requirements for continued listing on the Nasdaq SmallCap
Market ("Nasdaq"), including a minimum stock price of $1.00 per share. If our
common share price closes below $1.00 per share for 30 consecutive days, we may
receive notification from Nasdaq that our common stock will be

                                       15
<PAGE>
delisted from the Nasdaq unless the stock closes at or above $1.00 per share for
at least 10 consecutive days during the 90 day period following such
notification.

    Delisting from the Nasdaq and inclusion of our common stock on the OTC
Bulletin Board or similar quotation system could adversely affect the liquidity
and price of our common stock and make it more difficult for investors to obtain
quotations or trade this stock.

ITEM 3.  QUANTITATIVE AND QUALITATIVE ANALYSIS OF MARKET RISK

    FiNet's primary market risk of loss is interest rate risk. From the time we
extend an interest rate commitment to the borrower until the loan is priced for
sale to an investor, we are subject to interest rate risk. If interest rates
rise during that period, the price at which the loan can be sold to an investor
declines, resulting in a loss on the sale of the loan. We attempt to mitigate
such losses and manage our interest rate risk exposure through hedging
transactions using a combination of forward sales of mortgage-backed securities
and forward whole-loan sales to fix the sales price of loans we expect to fund.
Before entering into hedging transactions, we analyze our loans with committed
interest rates. We consider factors such as the estimated portion of loans that
will ultimately be funded, note rates, interest rates, inventory of loans and
applications and other factors to determine the type and amount of forward
commitment and hedging transactions.

    FiNet attempts to make forward commitments to hedge substantially all of its
estimated interest rate risk on the loans. We had mandatory and optional forward
commitments at March 31, 2000 and December 31, 1999 aggregating $56,543,000 and
$110,233,000, respectively. At March 31, 2000 and December 31, 1999, these
commitments covered the market risk associated with mortgages held for sale to
investors of $38,397,000 and $78,691,000, respectively, and loans for which
interest rates were committed at March 31, 2000 and December 31, 1999 of
$46,282,000 and $36,458,000, respectively. We attempt to limit our credit
exposure on forward sales arrangements by entering into these arrangements with
institutions that we believe are sound credit risks and by limiting exposure to
any single institution.

                                       16
<PAGE>
PART II. OTHER INFORMATION

ITEM 1.  LEGAL PROCEEDINGS

    Information required by this Item is incorporated by reference from Part I,
Item I, Notes to Consolidated Condensed Financial Statements, Note 5 Commitments
and Contingencies.

ITEM 6.  EXHIBITS AND REPORTS ON FORM 8-K

    (a) Exhibits:

<TABLE>
       <C>                     <S>
               10.25           Employment Agreement between the Registrant and Robert Snow,
                               dated January 31, 2000.

               10.26           Second Amendment to First Amended and Restated Warehousing
                               Credit and Security Agreement between Monument
                               Mortgage, Inc. and Residential Funding Corporation dated as
                               of March 29, 2000.

               10.27           Sublease agreement between The Scotts Company, successor in
                               interest to Monsanto Company and the Registrant and Monument
                               Mortgage, Inc., dated May 21, 1999.

               10.28           Agreement and Release between the Registrant and Mark Korell
                               dated December 14, 1999.

                27.1           Financial Data Schedule
</TABLE>

Reports on Form 8-K:

<TABLE>
<CAPTION>
DATE                      ITEM     DESCRIPTION
----                    --------   -----------
<C>                     <C>        <S>
      01-12-00                     Announcement to name Rick Cossano as President and Chief
                           5       Executive Officer

      03-20-00                     Announcement of earnings for the fiscal year ended
                           5       December 31, 1999

      05-03-00                     Announcement of earnings for the quarter ended March 31,
                           5       2000
</TABLE>

                                       17
<PAGE>
                                   SIGNATURES

    In accordance with the requirements of the Securities and Exchange Act, the
Registrant caused this report to be signed on its behalf by the undersigned,
thereunto duly authorized.

<TABLE>
<CAPTION>

<S>                                            <C>
                                               FINET.COM, INC.

Date: May 12, 2000                                          /s/ GARY A. PALMER
                                               --------------------------------------------
                                                              Gary A. Palmer
                                                         (PRINCIPAL FINANCIAL AND
                                                            ACCOUNTING OFFICER)

Date: May 12, 2000                                           /s/ RICK COSSANO
                                               --------------------------------------------
                                                               Rick Cossano
                                                   (PRESIDENT & CHIEF EXECUTIVE OFFICER)
</TABLE>

                                       18