A decade back when the provision of providing credit score to the people was only with the lenders and bureaus, majority people were oblivious to how their financial well-being could be affected by this 3-digit number. Though a lot has changed in the last decade, the most notable change in the financial spectrum is the increased prominence of data in the lending industry.
Apart from being the pioneers amongst the financial institutions to make credit score accessible for free to everyone and educating users about the importance of credit score, we have been using data on making credit both accessible and convenient for the users.
How do we do it?
We asked our data science team about the process and its application. Here’s what they have to say.
“We at CreditMantri, are very data centric and put a lot of focus on using data to make life easier for our customers. We focus on serving the underserved and use data to help build the credit profile of the customers, and use this profile to estimate the need of the customer and serve the right product to them,” said Varun Subramanian, our data scientist.
Our data comes into play right from when the user decides to take credit. With the help of our machine learning algorithms, we are able to ascertain the users who would be in need of credit and make sure they get the right product suitable for their requirement.
Another advantage of being a data-driven organization is that we can reach our users through the medium where they are most likely to engage with us. People engage with different channels in a different way. With the help of our algorithm, we are able to reach the right user at the right time at the right place, which in turn optimizes our yield as well as provides the user with the credit that they are in need of.
We are using over 3000 data points, which we call alternate data, along with the traditional data points like credit score, and create a more comprehensive credit profile of our customers. To match this credit profile, we have created specialized credit products with lenders. So, people with no credit score or low credit score can get the credit right for them easily with us.
“Customers who have a delinquent account or do not have a credit history generally find it difficult to get approvals from large scale lenders. Also, getting a credit product approved by any bank involves a multi-step process and consumes a lot of time. We at CreditMantri use Artificial Intelligence to pre-qualify users which results in hassle-free and quick loan disbursals,” added Varun.
With India’s lending industry on the rise, we believe that data will assume more importance in filtering the right products for the users. We aspire to add more value to the industry and make lending more convenient for our customers.