Proactive information security steps

Proactive information security steps

In a world where the threats to information and data security seem to grow each day, it is more important now than ever before that firms take those threats seriously and open their protocols to independent scrutiny. Lendingmetrics has…

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ADP and Bank Vision win technology award

ADP and Bank Vision win technology award

It's Official ADP is now the “Award Winning” automated decisioning platform! At a time when more and more consumer and SME lending businesses, large and small, are moving to automated decisioning &…

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It’s a savings, not a regulation problem

It’s a savings, not a regulation problem

In recent news, the rise in consumer default rates has the Bank of England (BOE) as well as the high street banks concerned about the health of the UK economy. The BOE has blamed this on the rising…

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LendingMetrics announced as awards finalists

LendingMetrics announced as awards finalists

Open Bank Vision and Auto Decisioning Platform (ADP) announced as finalists in the Credit & Collestions Technology Awards We are delighted to announce that LendingMetrics has been shortlisted as a…

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New Frontiers at LendingMetrics

New Frontiers at LendingMetrics

Exciting times at LendingMetrics. In the last few months, LendingMetrics have been working hard to keep up with the continuous demand for our products and services.…

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What is your scorecard missing?

What is your scorecard missing?

With continued advances in machine learning, credit providers are increasingly turning to technology to build more predictive scorecards. However, the development of these scorecards mainly focuses on the microeconomic environment which considers how individuals make decisions based on the distribution and utilisation of resources (income) For example will a consumer pay back a loan based on their past credit history? Do they appear to have enough income versus expenditure? Or, what is the purpose of the credit? Although these individual factors are predictive, they only consider part of the picture and don’t reflect the wider scope of the economic environment we live in.…

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Challenges and opportunities for 2018

Challenges and opportunities for 2018

What do you see as the major opportunities for 2018? “That’s an easy one too. There are two major opportunities in 2018. The first is the enormous, and I would say “once in a generation” introduction of Open Banking. If you grant credit of any type, this affects you and your business. Open banking will open up bank transaction data at a granular level, giving you access to arguably the most powerful source of underwriting intelligence available from a single avenue. Lenders will instantly be able to access detailed bank statement level data showing a consumer’s income, credit commitments, overdraft behaviour and general expenditure. This data will be instantly retrieved directly from the consumer’s bank and will be a real-time view of their financial behaviour. I have been working intensively with such data for almost 5 years (see http://www.lendingmetrics.com/bankvision.aspx) and I can assure you this will change credit assessments for ever.…

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Suddenly everyone is an Open Banking expert!

Suddenly everyone is an Open Banking expert!

IT'S TIME TO ACT In January 2018 the credit industry will see the introduction of what will likely be the biggest revolution in credit risk practices in a generation and you need to be prepared. Open banking (which you may have heard us talking about before) will open up bank transaction data at a granular level, giving credit providers access to arguably the most powerful source of underwriting intelligence available from a single avenue. Businesses will instantly be able to access detailed bank statement level data showing a consumer’s income, credit commitments, overdraft behaviour and general expenditure. This data will be instantly retrieved directly from the consumer’s bank and will be a real-time view of their financial behaviour.…

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The Irrational Borrower

The Irrational Borrower

Why do consumers take out car finance rather than save up for the purchase? Why does a person take a loan out for a holiday rather than put away a portion of their income each month? A consumer may decide to splurge out on a new car while promising himself that he will cut back on his spending tomorrow and start saving more. However, when tomorrow arrives the promises are in the past, and a new self takes control of the decision making, with its own desire for instant gratification.…

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