Credit scores have always been an important criterion in a lender’s decisioning process. However, this trend may alter as non-traditional data has increasingly attracted attention in the auto lending industry.
Lenders who exclusively use traditional credit bureau scores are “missing a wealth of information that could have a huge impact on underwriting or lending decisions,” according to a Credit Bureau Connection (CBC) press release. The credit report financial servicing company announced yesterday that it will partner with another technology company to offer lenders non-traditional data that will help lenders “more accurately price and structure deals” with profitable terms while managing default risk.
