Bank, one of Georgia’s largest, calls between 170 and 250 of her compatriots. She does not choose her targets. An algorithm crunches the credit scores of millions of Georgians, selects the best prospects and auto-dials them.
That began to change in 1956, when William Fair and Earl Isaac hit upon the idea of using data to predict the probability that a borrower would default. “Good” loans, it turned out, were correlated with telephone-ownership, longer time at the same address, longer employment in the same job and the applicant’s age. They set up a consultancy, Fair, Isaac and Company, whose product was a literal scorecard, made of cardboard, provided to banking and retail customers.
But in smaller, poorer countries with little financial infrastructure, credit-scorers have limited data to work with. They can look at payment records for services that are provided first and paid for later, such as utilities, cable-television or internet. Such proven payment data, says Michael Turner of, an American think-tank focused on financial inclusion, are a good guide to risk in the absence of a credit history.
Someone who uses taxi apps is a lower risk, says Paul Randall of Creditinfo, which also operates in several poor markets, because it suggests they have a smartphone with a payment method that they use regularly, rather than one set up for the purposes of applying for a loan. People with betting apps are higher-risk. People with friends who have bad debts may be bad borrowers themselves.
Does your headline mean people make fewer regular payments, as in not as many, or less regular payments, as in the quantity is not as much?
JoeBudden
ferzepedaf
That’s not very accurate
Same with flipping coin
Brilliant approach but the line between Privacy and breach of privacy has gotten thinner.
I'm from a poor country Madagascar, and here Banks uses a ranking based on the quality and performances of company to determine loan risk of its employees.
WhiteHouse realDonaldTrump it's right. how you like me now? hahaha
积分非信用积分，而是像信用卡的积分一样，积分越高有更加便利的服务，比如贷款额度上升，比如去加拿大可以免签证等，当然信电积分低也对个人没什么影响，只是没有那些方便的服务。
maybe because China has 300m migrant workers, they need a trust engine to replace the good old neighbourhood
More terrifying surveillance shit from the Chinese. Their Govt horrifies me. That system will collapse under the weight of its cruelty and inhumanity. Tick tick
中国的一个信用评分系统叫做芝麻信用，只用了短短几年时间，现在已经覆盖了3.25亿人。
Thank for tweeting this
Startcredits in Nigeria is revolutionising credit markets and scoring in Africa with research into default distributions to facilitate more lending to qualified borrowers