Many companies that give you a loan typically rely on the information they gather from the institutions. According to a research, missed calls and your phone model will in the future determine whether one can get a loan or buy goods in installment.
“Personal data can only be used with the person’s consent however practice shows that openly sharing additional information increases a creditor’s trust,” said Creditinfo Head of East and Southern Africa, Kamau Kunyiha
A recent conference “Scoring Kitchen” by Creditinfo addressed what is new in the scoring process.
According to research, if a person consents, institutions will soon examine more than just repayment of past loans. They are currently looking to investing personal information you probably did not think necessary for a loan.
A study was done together with a telco company on how people’s financial reliability relates to their everyday behavior. The analysis shows that even how long people stay on one telecom operator’s services shows their financial trustworthiness.
The longer someone uses the same telco’s services, the more financially reliable their loan-payment history is while customers who frequently change operators demonstrate a higher level of risk.
Those without 4G and who use minimal mobile internet are also considered a higher-risk group.
Allan Anyona, Creditinfo analyst notes that individuals who are less financially reliable tend to have more modest internet plans and rush to connect as quickly as possible to free Wi-Fi networks at home and elsewhere.
Moreover, it was observed that the more advanced the network connection a potential customer’s phone supports, the greater their creditworthiness.
Many missed calls points to a frequent debtor as creditors get useful insights about whether a potential customer often fails to answer incoming calls
It turns out that financially reliable are those that frequently answer calls riskiest customers, meanwhile are among the people who miss calls more often than others.
“We assume that people experiencing financial difficulties avoid answering calls as they do not want to talk with creditors. Some could be escaping relatives to whom they may also be in debt”, Creditinfo Group analyst explains.
Debtors are also looking into how often a customer tops up their mobile wallet limit. Thus, the bigger their income, the higher their credit rating will be
Seeking to get a more objective assessment of a customer’s creditworthiness and to automate the decision-making process, psychometric data are being used ever more actively.
A future customer may be asked to play a quiz that takes 5-7 minutes and their response could determine their creditworthiness
A study shows that customers who meet their financial obligations most responsibly tend to choose the answer “I would save it” in the game. However, the riskiest customers more often choose “I would spend it” on entertainment.