Russia’s Sovcombank is using survey-based credit scoring from FICO to attract young people looking for their first credit card. The new score uses psychometrics and behavioral data to measure a person’s credit risk based on their answers to questions in an online assessment
Russia’s Sovcombank is using the new form of credit scoring developed by Entrepreneurial Finance Lab (EFL) and marketed by FICO. It uses an interactive online assessment to evaluate an individual’s credit risk. Sovcombank, a universal bank with more than 2 million customers, is using the score to “gamify” the credit application process.
Unlike the FICO Score in Russia — which scores credit information from the National Bureau of Credit Histories (NBKI), Russia’s leading credit bureau — the EFL Score gathers applicant-contributed data in an interactive online survey to assess a person’s attitudes toward credit and willingness to pay.
EFL’s psychometric scoring and behavioral data analysis technology was born out of more than a decade of empirical research, initially at Harvard, and validated by over a billion dollars of lending across the world.
FICO’s partnership with EFL Global is part of its FICO Financial Inclusion Initiative, which aims to help lenders make affordable credit available to the estimated 3+ billion unbanked and underbanked adults worldwide. These “credit invisibles” benefit from credit scores that leverage multiple data sources to assess credit risk and assist responsible lending. FICO offers EFL’s psychometric scoring alongside its own credit scoring products in Russia, Turkey, and Mexico.
More than half of the top Russian banks use FICO Scores delivered by NBKI. The FICO Score is the most used credit score in the world, and the standard measure of U.S. consumer credit risk.
EFL helps lenders in emerging markets safely approve more people. With 10 years of experience enabling over one billion dollars in loans globally, EFL is the alternative credit scoring platform with the strongest track record serving financial institutions across Latin America, Asia and Africa. EFL’s cutting edge behavioral data science can be applied universally – to any prospect – and online to help responsibly turn a ‘No’ into a ‘Yes’.