Equifax UK Introduces Data Decisioning Platform in Collaboration with Render for Lending Institutions
Equifax UK and Render Launch 'Clear Decision' Platform to Revolutionise Lending Decisions
Equifax UK, in partnership with Render, has unveiled a groundbreaking data decisioning platform called 'Clear Decision'. This innovative solution aims to revolutionise the lending industry by combining Open Banking data with traditional credit reference data, providing lenders with a more comprehensive and real-time financial picture of applicants [1].
The 'Clear Decision' platform leverages Open Banking information, which includes detailed transactional data from bank accounts, to complement credit reference data. This integration offers lenders nuanced insights such as income patterns, spending behaviours, and cash flow stability, helping to identify creditworthy borrowers who might be missed by conventional credit scoring models alone [1].
By fusing these data sources, the platform enhances the accuracy and confidence of lending decisions, reducing risk and increasing approval rates for marginal, borderline cases where traditional data may be insufficient or outdated. This leads to fairer and more inclusive credit outcomes for consumers and more effective risk management for lenders [1].
Jonathan Mascie-Taylor, chief commercial officer at Render, expressed optimism about the potential of the new platform to be a game-changing solution for lenders. He stated, "The Clear Decision platform is a natural extension of our partnership with Equifax and their lending business, Abound. It's a powerful tool that will help lenders make more informed decisions based on customers' individual financial circumstances."
Stephen Maitland, director of partnerships and strategic alliances at Equifax UK, emphasised the importance of understanding customers' affordability, particularly in marginal lending decisions. He said, "Our research found that 24% of organisations rely on a customer's self-declaration to assess expenditure. With Clear Decision, we can help lenders make more accurate assessments, reducing errors and identifying fraudulent applications."
The 'Clear Decision' platform also automates the process of combining data to help streamline manual underwriting, making it particularly beneficial for tackling marginal credit applications [1]. Lenders using the platform can expect improved operational efficiency, broader financial inclusion, and the ability to approve more customers with confidence.
Equifax UK previously introduced an affordability solution for lenders called 'Affordability 360', which uses the same data combination approach. However, 'Clear Decision' represents a significant leap forward, offering a more sophisticated and automated solution [1].
With the launch of 'Clear Decision', Equifax UK and Render are set to redefine the lending landscape, offering a more accurate, efficient, and inclusive approach to credit decision-making.
[1] Data sourced from Equifax UK and Render's press release on the Clear Decision platform.
- The 'Clear Decision' platform, a result of Equifax UK's partnership with Render, integrates Open Banking data with traditional credit reference data, providing nuanced insights to lenders.
- By automating the process of combining data, the 'Clear Decision' platform can help streamline manual underwriting for lenders, especially when tackling marginal credit applications.
- The platform enhances the accuracy and confidence of lending decisions, thereby reducing risk, increasing approval rates, and offering fairer and more inclusive credit outcomes.
- Equifax UK and Render's 'Clear Decision' platform leverages technology and data to revolutionise the lending industry, setting new standards for efficient, accurate, and inclusive credit decision-making.
