- Posted by FactorTrust
- On November 16, 2016
- Auto, CreditClimber, FICO
NAL Seeks to Increase the Accessibility of Loans to Consumers While Reducing Risk to Its Customers
ATLANTA (Nov. 16, 2016) – FactorTrust, The Alternative Credit Bureau, announces National Auto Lenders (NAL) as a new customer of the company’s services. By selecting FactorTrust, NAL validates the need for using alternative credit data during the underwriting process.
Non-prime auto loans have seen a steady increase in recent years due to growth in the number of non-prime customers, a willingness to take on more risk, and a general lowering of auto loan interest rates. As the market segment has grown, so has the competition. Today’s lenders have a need for faster decisions, new data sources and automation in order to best manage credit quality. FactorTrust’s non-prime credit risk and consumer data, and risk models helps those lenders stay competitive.
“It’s imperative for lenders to be able to utilize information that provides them with a better understanding of who their consumers are. There is a massively underserved population of underbanked consumers that, when taking alternative credit data into account, deserve credit options. With our tools, NAL can access unique, proprietary data and auto finance risk scores on non-prime consumers not available to them elsewhere and not reported to the Big 3 bureaus. This more accurately evaluates a borrower’s credit risk, helping lenders better understand a consumer’s ability to repay while maintaining a pricing advantage,” says Greg Rable, CEO of FactorTrust.
FactorTrust’s data shows that the 113 million U.S. consumers with FICO credit scores under 700 today indeed are striving for a better financial standing and should be recognized as CreditClimbers – consumers determined to improve credit scores in order to advance their situation and access more credit options. Every time a CreditClimber does something positive, they deserve to improve their credit score, according to Rable. “We’ve seen people improve their credit scores – at every scoring level — by having alternative credit data factored in during the underwriting process. More data is better for both the consumer and the lender.”
“Our mission at NAL is to provide fast and flexible financing for hard-working people who may have less than perfect credit. Through the additional data provided by FactorTrust, our underwriters can better judge a consumer’s ability to repay so that they can approve more deals and the consumer can realize their dreams of owning an automobile,” says Ozzie Ramos, President & CEO of NAL.
FactorTrust’s real-time database of more than 200 million loan transactions provides lenders with a holistic view of underbanked consumers’ creditworthiness and ability to repay loans. Though all lenders, including banks, benefit from FactorTrust’s data, it is especially valuable in the auto industry.
For more information on FactorTrust, please visit www.FactorTrust.com or contact FactorTrust at 1-866-910-8497.
FactorTrust, The Alternative Credit Bureau, is relentlessly dedicated to proven analytics and clean credit information that provide lenders opportunities to grow more revenue, meet compliance regulations and serve more consumers with more credit options. At the core of FactorTrust is alternative credit data not available from the Big 3 bureaus (Experian, TransUnion and Equifax) and analytics and risk scoring information lenders need to make informed decisions about the consumers they want. FactorTrust Alternative Credit Data and Analytics accurately predicts risk and the ability to repay of near and non-prime consumer loans in real-time. The company’s solutions enable financial service companies an opportunity to uncover creditworthy prospects that are not surfacing via traditional credit sources. Headquartered in Atlanta, the experienced FactorTrust team of predictive analytics specialists, statisticians and financial industry experts has delivered unique data and valuable insight to lenders throughout the U.S. for more than 10 years. For more information on the quarterly FactorTrust Underbanked Index or the company itself, visit www.FactorTrust.com.
Established in 1996, NAL is an innovative, technology driven automotive finance company that purchases Retail Installment Sale Contracts in the non-prime market from both Independent and Franchise Dealers. For 20 years NAL has built long-lasting relationships with dealers, helping them to place customers in their preferred vehicle. NAL is a privately owned company; for more information please visit NALenders.com.