Equifax, the consumer and business insights expert, has extended its reach in the alternative lending sector with MYJAR becoming the latest lender to join Equifax Real-time Exchange, contributing short-term loan performance information in real-time.
Recent Competition & Markets Authority (CMA) and Financial Conduct Authority (FCA) reviews have encouraged the use of real-time data sharing in the alternative lending sector. The consolidated data from Equifax Real-time Exchange is designed to support lenders in making responsible lending decisions throughout the application process, from pre-funding through to loan performance analysis.
It also aims to provide greater predictive capability by providing live insights, reporting and referencing short –term loan performance. The Equifax Real-time Exchange aims to encourage comprehensive data sharing within the alternative credit sector enabling lenders, large and small, to deliver better outcomes for consumers. The exchange of this information helps lenders to deliver robust affordability assessments and reduce the risk of fraud.
Since its launch as a short-term loan provider in 2009, MYJAR has issued over 1.8 million loans to 400,000 unique borrowers with a value of £300m. MYJAR provides flexible instalment loans from 1 to 12 months and eligible customers can borrow up to £2500.
Craig Tebbutt, Head of Alternative Lending, Equifax, says: “The Equifax Real-time Exchange is designed to support all types of lending including dual applicants, guarantor loans and revolving credit, and helps clients remain prepared for regulatory change. We believe that online lenders need to have a live view of borrowers’ loan commitments. This can only be obtained by using real-time data and Equifax considers this an integral part of an affordability assessment.
“The industry has seen a lot of regulatory change and we have been at the forefront helping lenders with real-time reporting. MYJAR joining our Real-time Exchange is testament to the expertise we have developed in this sector.”
Ellis Sher, CEO, MYJAR says: “Choosing Equifax for its real-time reporting solution made perfect sense given their in-depth experience in the alternative lending space. The solution has flexible reporting options making it easy to implement into our existing processes. Sharing real-time data with Equifax supports our commitment to our customers to help them borrow responsibly while also staying ahead of regulatory reporting requirements.”