Credolab, a leading smartphone and web behavioural data analytics platform, has announced a strategic partnership with Circulo de Credito,  a fast-growing Credit Information Society (Credit Bureau) in Mexico. The partnership aims to bring more financial inclusion to Mexico by providing innovative credit, risk and fraud scoring solutions that benefit clients and financial institutions.

As part of this collaboration, Circulo de Credito will exclusively offer a Digital Behaviour Analysis Solution, powered by Credolab, through its API marketplace. This solution includes behavioural insights about risk and fraud, available for over 3,500 B2B clients, including banks, retailers, and fintechs. With credolab's SDK, Circulo de Credito can deliver to their B2B clients stronger predictive power, improving the risk and fraud assessment of any borrower’s likelihood to default, even thin-files, gig-economy workers, millennials, small businesses and unbanked.

Credolab's platform uses proprietary machine-learning algorithms to detect more than 10 million behavioural patterns, such as battery usage and the most frequently downloaded app category. This enables financial institutions to make better decisions without processing any personal data. The company's toolkit is already in use for over 200 corporate clients across 9 verticals in 38 markets, helping them to gain clear and measurable benefits by delivering outcomes such as up to a 22% drop in fraud costs and up to a 32% increase approval rate.

"The lack of predictive data is still one of the main pain points of any financial institution. What we do at credolab is help to make proper decisions and generate highly accurate risk portraits for previously ignored potential borrowers by using a previously untapped source of new data – the smartphone. Partnership with Circulo de Credito allows us to promote a greater scope of financial inclusion in Mexico by helping lenders understand their clients better,” says Peter Barcak, CEO of credolab.

To date, Circulo de Credito has helped 20 million Mexicans access credit using innovative household data, and its solutions have seen banks and other lenders make 200 million credit decisions, equivalent to three times the size of the Mexican active adult population. 

"Being the most innovative Credit Bureau in LATAM, our primary objective is to promote financial well-being and foster trust between lenders and their beneficiaries. By partnering with credolab, we are able to extend our assistance to more companies and individuals, empowering them to understand crucial financial information, which in turn will help them achieve their economic and financial goals," Juan Manuel Ruiz Palmieri, CEO Circulo de Credito.