Fintech Spotlight: Data vs Data-The Battle to Understand Online Lending Borrowers

[kreslik.news]

It’s no secret that online lenders are bringing efficiency to the borrowing market, providing expedited loan processes for personal loans, student debt refinancing, mortgages and small and medium business (SMB) loans and credit lines. Helping power this efficiency is big data technology to dynamically calculate loan terms as well as analyze risk factors of borrowers.

Among new data sets are alternatives to credit score rankings such as behavioral, social and psychometric evaluations. While this information is less fundamental in regards to setting loan terms, the data can help lenders better understand the risk and expected repayment characteristics ... (read more)