How do you measure risk for consumers without long credit histories in the U.S.?
That’s the question Amitay Kalmar confronted when he founded Boston-based Lendbuzz in 2016. Three years later, Lendbuzz is carving out a share of potential auto loan customers by leveraging machine learning and data analytics. The startup lender targets foreign-born residents, such as ex-patriots and international students, with limited or no credit histories. Rather than use a traditional credit score as a basis to score risk, Lendbuzz uses machine learning algorithms that analyze other indicators such as a borrowers’ educational and employment background, earning potential and cash flow.
Click here to listen to the full episode of The Roadmap, where Auto Finance Excellence chats with Kalmar about plans for $150 million in freshly raised capital, geographic growth and tech enhancements expected to propel the startup onto the main stage.Like This Post