Only 25 percent of the Chinese population is considered to have a traditional credit score; for non bank lenders gathering alternative data like transactions and social media has helped them to identify potential borrowers who the banks will not serve; Ant Financial has built out Sesame Credit who gathers this type of data and other online lenders have also begun using different data pieces to assess risk. Source.
The US is ranked highly for financial inclusion, but it faces dropping further amidst waning Government and Employer support.
Freddy Kelly is the CEO and co-founder of Credit Kudos; Credit Kudos is an alternative credit bureau that uses open...
Fintechs have touted the importance of cashflow data in underwriting. This week, the CFPB published their evidence to support the approach.
Envestnet | Yodlee discusses their recent webinar Leveraging Alternative Data to Energize Your Lending Portfolio; speakers included Jason O’Shaughnessy, Senior Vice President, EMEA & Australia, Envestnet | Yodlee; Phil Grady, CEO of Castlight Financial; Roger Vincent, Head of Banking & Innovation, Equifax; and Venkat Srinivasan, Head of Lending for Monzo; Gary Wright, Director of Content, Finextra moderated the webinar; the on-demand webinar is available for those that missed the live event. Source
Indian banks are working with fintech startups to develop technology similar to what is used in markets like Africa and China; the banks hope to use social data and online shopping habits to underwrite borrowers; FICO recently began to offer credit scores in India using alternative data and there are many startups working on similar efforts. Source
Lenders today have a credit blind spot; this is because of the provision in the government stimulus package that allows...
At the recent Fintech Nexus USA conference, Isabelle sat down with Lauren Crossett of Pinwheel to talk about using alternative data.
Alternative data could be critical to financial inclusion, but industry experts say it isn't all plain sailing. Find out why.
Alternative data helps lenders score previously difficult-to-serve groups like thin- and no-file customers. Lenders seeking to serve those client groups need the right technology in place, Provenir’s executive vice president for North America Kathy Stares said.