This App’ll Track You Online for Credit Score

Mumbai
Co’s app determines a person’s credit worthiness based on social media presence
Mumbai-based financial technology startup CreditVidya has developed a mobile application, TrustScore, which determines a person’s credit worthiness based on social media presence. “Our machine learning algorithms combine traditional scoring model with customer’s digital footprints such as their Facebook and LinkedIn profile, ecommerce purchases, financial transactions, education and employment history to provide a fast and accurate credit assessment for new to credit and thin file customers,“ said CreditVidya CEO Abhishek Agarwal, who previously worked as head of products and data strategy at Experian India of the Experian Group.According to World Bank data, only 22% of Indian adults are covered by the credit bureau, which means the remaining do not have a credit history , and hence, do not have access to loans. “TrustScore will be a financial inclusion point for new-to-credit and thin-file customers,“ said Rajiv Raj, the other cofounder and director of CreditVidya. Raj had played an important role in setting up India’s first credit bureau, CIBIL (Credit Information Bureau of India Limited).

Delhi-based IndiaLends and Bangalore-based InstaKash are few of the companies that have come up with their own proprietary algorithm that aggregates information from a large number of data sources like the credit bureau, the application form and social networks in order to assess risk and creditworthiness of customers.

According to Raj, this score can be used by lenders, insurance companies, telecom companies, landlords, employers, ecommerce companies, etc.

The information from social media can also be used in addition to the CIBIL and can help identify frauds and defaulters, he said.

Siddharth Parekh, the younger son of banker and HDFC chairman Deepak Parekh and senior partner of PE firm Paragon Partners, along with a couple of high net-worth individuals from Dubai provided seed funding to CreditVidya in November last year.

CreditVidya was launched as a credit advisory firm in 2013 with a mission to educate customers so that they can better monitor and manage the credit aspect of their financial health.

Agarwal told ET that CreditVidya has broken even from the beginning of 2015. “We are in line to hit a million-dollar revenue this year,“ he said.

Source: The Economic Times

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Author:

Neeraj; an entrepreneur & a visionary in the field of Railway, Defense & Automobiles, is a graduate in commerce and a Harvard Business School Alumni. He’s an expert in govt. liasoning & contracting and has an exceptional network & connections at both local as well as global level. He’s an expert in Market Strategy & Planning and has served number of overseas companies as an advisor/consultant. He takes a profound interest in upcoming startups & is very receptive towards ground-breaking ideas & innovations. He likes to brainstorm those ideas and if the values & philosophies matches; he is even ready to invest his resources, serve as a mentor or act as an incubator to futuristic businesses.

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