[Editor’s note: This is a white paper from Clarity Services. Clarity Services is a Platinum Sponsor at LendIt USA 2017 which will take place on March 6-7, 2017 in New York City.]
Non-prime consumers’ circumstances can change suddenly and push them beyond the identified risk boundaries. As a lender, post-screening is also your last chance to guard against first payment defaults by consumers who are eager to engage with you but may not intend to repay.
Unlike third-party fraud, which often can be identified in the pre-screening process using traditional credit data, a person with no intent to repay is much more difficult to spot. By using alternative credit data, lenders gain powerful insight that can help them predict non-prime consumer behavior and build better risk models.
Read more and download the full white paper: Direct Mail Screening: How Alternative Credit Data Boosts Campaign Success