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From Planning to Execution: Using Value Chain Approach to Lending to Smallholder Farmers and Agribusiness
Lack of financial data about agribusinesses and smallholder farmers makes it even more difficult to adopt conventional methods of credit assessment. Most plain vanilla financial products are ill-suited to the cash flow requirements of an agribusiness, which is often cyclical in nature. But where most financial institutions see a challenge, we at Samunnati saw an opportunity in lending to smallholder farmers and agribusinesses.
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- Agriculture
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The Hard Facts on ‘Soft Data’: Determining risk for loan applicants without credit scores is more than a numbers game
Research has shown that judging creditworthiness based on a single number can shortchange lenders as well as borrowers, and that a more comprehensive picture based on “soft information” as well as numbers can serve as a firmer basis for judging risk of default. This is good news for small borrowers – and it represents a promising new direction for those seeking to lend to them.
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- Uncategorized
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Exploring the Evolving Landscape of Credit Bureaus in India
Crif High Mark Credit Information Services Pvt. Ltd, one of the four credit bureaus in India, in November, launched its first customer- specific product—online credit report and credit score. These will come with risk indicators such as low, medium and high so that the customer can understand what the score means, said Kalpana P. Pandey, chief executive officer and managing director, of the company. The bureau offers two products—credit report at and credit report and score. Pandey spoke to Mint about the evolving landscape of credit bureaus in India, and the company’s plans to service small finance banks and payments banks.
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- Uncategorized
- Region
- South Asia
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- credit scoring
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Omidyar Network Report Reveals Disruption in Emerging Market Credit Score Business
Omidyar Network today released "Big Data, Small Credit: The Digital Revolution and Its Impact on Emerging Market Consumers", a research report that analyzes a new category of technology enterprises that are disrupting the traditional way of assessing consumer credit risk in emerging markets. Using non-financial data—such as social media activity and mobile phone usage patterns—complex algorithms and big data analytics are delivering a quicker, cheaper, and more effective credit assessment of consumers who lack credit histories and were invisible to lenders before.
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- Technology
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Banking on Refugees: Helping those affected by global conflict to establish an ID and a lifeline to financial services
For many refugees, especially those who have been forced to quickly and unexpectedly leave their homes, establishing who they are is a challenge. To raise awareness of this critical situation, the Digital Finance Institute, a think tank for financial technology, is working on a financial inclusion project called “Banking on Refugees.”
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- Uncategorized
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AT Capital and Life.SREDA Leads Series B Round for Lenddo
Lenddo, the world’s leader in using non-traditional data for credit scoring and online verification, today announced it has closed a Series B investment to further support the company’s accelerated growth and meet global demand. The investment was led by new investors AT Capital and Life.SREDA, with participation from existing investors Omidyar Network, Blumberg Capital and Golden Gate Ventures.
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- Uncategorized
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- credit scoring
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Why Relying Too Heavily on Credit Scores Hides Potential Market Opportunities:
Credit scores can be limiting and in some cases, misleading. For instance, a consumer might have a high credit score while also struggling financially and vice versa. New research from CFSI looks at the missed opportunities for financial inclusion when credit scores are the limiting factor.
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- Uncategorized
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Will Your Facebook Friends Make You a Credit Risk?
It might be time to start unfriending some of your buddies on Facebook.
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- Uncategorized
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- credit scoring