Product Overview of LenddoEFL
LenddoEFL is a pioneering company in the field of alternative credit scoring and identity verification, dedicated to expanding financial inclusion globally. Here’s a detailed overview of what the product does and its key features and functionality.
Mission and Purpose
LenddoEFL’s mission is to provide access to powerful financial products for one billion people, making these services more affordable, faster, and more convenient. The company aims to bridge the gap for millions of consumers who lack traditional credit histories, thereby enabling financial institutions to serve previously underserved populations.
Key Features
Alternative Credit Scoring
LenddoEFL uses a unique approach to credit scoring by leveraging both traditional and non-traditional data sources. This includes:
- Digital Footprint: Data from social media posts, geotagged photos, and other online activities.
- Behavioral Data: Insights derived from psychometric tests that reveal personality traits associated with credit risks.
- Device Data: Information collected from Android devices such as telephony data, gallery and media data, stored files, WiFi data, and more, all accessed with the user’s explicit consent.
Data Ingestion and Analytics
The platform is capable of processing large volumes of structured and unstructured data from multiple disparate sources. This data is then analyzed using advanced machine learning, AI, and predictive analytics to create new predictive features and build credit scorecards. The company’s ability to ingest and analyze vast amounts of data in real-time is a significant differentiator.
Credit Score Products
LenddoEFL offers a suite of credit score products tailored for different segments, including:
- Default Risk Score: Predicts the likelihood of a borrower defaulting on a loan.
- Income Score: Estimates the probability of a new customer having a high income.
- Repayment Score: Determines the likelihood of a customer missing the next payment.
These scores are generated instantly and at a low cost, enabling financial institutions to make informed decisions quickly.
Integration and Deployment
LenddoEFL provides Software as a Service (SaaS) packages that integrate seamlessly with clients’ applications through APIs or buttons. This integration allows for efficient onboarding of new borrowers and gathering of necessary information. The company uses Google Cloud Platform, Google Kubernetes Engine, and MongoDB Atlas to ensure a scalable, secure, and compliant cloud environment.
Security and Compliance
The platform is secured with Google Cloud security solutions such as Cloud Identity and Access Management (Cloud IAM) and Role-Based Access Control (RBAC). Data encryption is provided by default, and the platform complies with SOC 2 auditing industry standards. External connections are protected via secure VPNs to prevent DOS and other risks.
User Experience and Efficiency
LenddoEFL offers a simple and user-friendly consent process for data collection, which can be completed within seconds. The platform ensures a quick turnaround time, enhancing productivity and reducing the time required for loan processing. Clients have reported significant efficiency gains, increased portfolio size, and reduced default rates without decreasing approvals.
Impact and Recognition
LenddoEFL has worked with over 50 leading financial institutions across more than 20 emerging markets, helping over seven million people gain access to financial services. The company has been recognized as one of Fast Company’s World’s Most Innovative Companies in Finance 2018 and was the Grand Prize Winner at the 2017 MIT Financial Inclusion Challenge.
In summary, LenddoEFL’s innovative use of alternative data, advanced analytics, and cloud-based solutions makes it a market leader in providing financial inclusion and risk management tools to financial institutions worldwide.