Equifax announced last week that dealers using Credit Bureau Connection’s (CBC) credit reports and compliance solutions will now be able to access income and employment data from the information solutions company, according to a press release.
The goal, Equifax said, is to clear common lender stipulations generated during the auto financing process and validate the accuracy of information reported on loan applications. Almost 25% of borrowers purposely or inadvertently inflate their stated income on auto loan applications by a factor of 15% or more, which increases the possibility of charge-offs and delinquencies for auto dealers and lenders, according to Equifax.
“We understand the odds of a buyer returning to complete a vehicle purchase decrease substantially if they are forced to leave the dealership to obtain necessary income and employment proof,” said Mike Green, president and chief executive officer of CBC. “Having the ability to satisfy this requirement while the buyer is in the buying mode is vital to a dealership’s closing ratio.”
The data is provided through Equifax’s Work Number, a verification services database, which houses over 58 million active employment records and over 165 million historical records, according to Equifax, and allows automotive dealers with permissible purpose and consumer consent to verify their consumers’ reported income and employment.
