The Evolution of How Lenders View Credit-Risk Evaluation
These days, the predictive nature of the best data available in approving loans can have an immediate impact on a lender’s business. The underwriting process has changed quite a bit throughout the past decade. The better lenders understand why that is, the more you might grasp what moves to make today for a better tomorrow.
In our latest spotlight on credit-risk evaluation, we cover the rise and importance of alternative credit data:
- How did we get here?
- How much of our pre-Great Recession wealth have we recovered? Despite surviving the financial crisis, the reality remains that the economy is still considerably smaller now than was projected pre-crisis.
- The “New Normal” – Immediately after the crisis, many millions of consumers saw their credit score dip below 600, contributing significantly to the 138 million adults who the Consumer Financial Protection Bureau (CFPB) have recently reported are struggling financially. To what extent is subprime lending the “New Normal”?
- How did alternative credit data reframe credit-risk evaluation?