At Castlight Financial, we have developed the world’s first open-banking affordability score. CastScore empowers lenders to understand a customer’s true ability to repay credit. And it also enfranchises customers with thin credit history, who are normally excluded from access to credit.
Lending decisions are currently based on traditional credit scoring, which assumes that a customer’s future credit behaviour will reflect their past performance. It’s a “rear view mirror” snapshot of a customer, rather than a real-time picture that takes into account changing circumstances.
CastScore uses open banking technology to analyse a customer’s transactional data in real time and score their likelihood of paying credit back.
It is not dependent on a customer having a history of credit in order to demonstrate creditworthiness.
For lenders CastScore will help reduce bad debt and avoid lending to vulnerable customers, whilst also facilitating the automation of processes and increasing approval rates.
For customers, CastScore could be the difference between securing a mortgage and being stuck in generation rent trap.
For more information about CastScore and to request a demo, visit castlightfinancial.com