Edge Blog
Improving Loan Evaluation with Real-Time Income Detection
Edge Insights
In the world of lending, making sound decisions is paramount. A borrower's income is a critical factor in assessing their creditworthiness and ability to repay a loan. Lenders require effective tools to evaluate this key aspect of every loan application. Enter EdgeIncome, a solution that empowers lenders to make informed decisions while streamlining their operations.
Unleashing Cash Flow Data's Potential: The Power of a Bank Transaction-Based Credit Risk Score
Edge Insights
Bank transaction-based credit risk underwriting revolutionizes lending by providing valuable insights into borrowers' repayment abilities, and EdgeScore excels as a leading predictive risk score in accurately assessing risk across the credit spectrum.
Save Time This Summer – Faster Customer Processing with Edge
Edge Insights
Verification of income has traditionally been one of the most expensive and time-consuming steps in a loan application. With the innovation of instant bank verification (IBV), proof of income can be achieved in near real-time along with a host of risk insights relevant for credit decisions.
BNPL – Borrowing No Different
Edge Insights
Edge, using its industry-leading data lake, has gained valuable insights into the influence of Buy Now Pay Later (BNPL) on various credit types. Proprietary research reveals that borrowers engage in familiar patterns such as loan stacking, increased borrowing during financial stress, and heightened default risk due to additional obligations.
BNPL Liabilities – Hidden in Plain Sight
Edge Insights
Buy Now, Pay Later plans are frequently in the headlines for opportunities and risks alike. BNPL obligations pose a challenge for other lenders because they are largely unreported to credit bureaus. However, these liabilities can be reliably found in bank transaction data – an essential step in decisioning on a complete picture of consumer risk.
Cash Flow Underwriting – What’s Missing from Your Bureau
Edge Insights
Traditional credit scores are inadequate for assessing risk in nearly half of the U.S., while analyzing cash flow behaviors in checking and savings accounts provides a more comprehensive financial picture, leading to actionable insights that enhance underwriting decisions.
Cash Flow Underwriting – What’s Missing from Your Bureau
October 20, 2022 | EdgeScore Insights
For almost half the U.S., traditional credit scores fail to accurately or fairly predict risk. Cash flow behaviors seen in checking and savings accounts present a more complete financial picture. When analyzed against robust loan performance data and with the right experience, bank transaction data yields actionable insights that can improve underwriting decisions.
BNPL Liabilities – Hidden in Plain Sight
December 12, 2022 | EdgeScore Insights
Buy Now Pay Later plans are frequently in the headlines for opportunities and risks alike. BNPL obligations pose a challenge for other lenders because they are largely unreported to credit bureaus. However, these liabilities can be reliably found in bank transaction data – an essential step in decisioning on a complete picture of consumer risk.
Cash Flow Underwriting – Getting to “So What?”
November 17, 2022 | EdgeScore Insights
As more lenders recognize the disruptive potential in bank transaction data, the focus is shifting to how thousands of datapoints can be distilled into clear risk signals. Data scientists can easily turn a year’s worth of debits and credits into five or ten times as many interesting characteristics and behaviors, but interesting isn’t actionable. For better underwriting decisions, analysis can’t stop with a long menu of insights – it needs to get to a “So what?”
Cash Flow Underwriting – What’s Missing from Your Bureau
October 20, 2022 | EdgeScore Insights
For almost half the U.S., traditional credit scores fail to accurately or fairly predict risk. Cash flow behaviors seen in checking and savings accounts present a more complete financial picture. When analyzed against robust loan performance data and with the right experience, bank transaction data yields actionable insights that can improve underwriting decisions.