Equifax launches Commercial Credit Data Sharing solution to support SME lending

 Equifax launches Commercial Credit Data Sharing solution to support SME lending
05.02.2018 12:25 pm

Equifax launches Commercial Credit Data Sharing solution to support SME lending

Data

Equifax, the consumer and business insights expert, has launched a new solution to support the government Commercial Credit Data Sharing (CCDS) initiative seeking to stimulate competition and encourage new entrants in SME lending, thereby addressing the shortfall in access to finance. 

The new Equifax solution gives lenders a comprehensive picture of a businesses’ financial health to facilitate faster and more informed lending decisions. As a government designated credit reference agency under the data sharing scheme, Equifax has access to new data sets from leading business banks, including a view of cash flow activity, debit and credit turnover, and minimum and maximum average balances. The data will be provided to lenders through Equifax Business Insights, which blends commercial and consumer insights for the commercial lending and credit market to optimise underwriting, lending and validation processes. 

CCDS covers any company with a turnover of up to £25m - 99.9% of the entire UK business population. The additional data will be a particular benefit to SMEs who only occasionally apply for finance. With a clearer view on whether businesses can afford repayments, banks and non-bank lenders will be able to offer SMEs more competitive loans.

The new solution also enables lenders to monitor a customer’s financial status, alerting them early to any potential problems with repayments, and identifying the most suitable course of action. This facilitates the requirements of the new lending standards to better support SMEs in times of financial stress. 

Nic Beishon, Head of Commercial at Equifax, says: “We’re excited to be supporting this government scheme to boost lending in the SME sector, essential to the health of the UK economy. CCDS is a game changer for many businesses who have the financial ability to repay a loan but who are currently either denied it or left in limbo when a lack of information leaves banks unable to make a timely decision. The new data overcomes this issue by providing an in-depth view of a business’ financial activity than has ever been accessible before.

“Combined with other industry initiatives, such as Open Banking and the Payments Services Directive 2, CCDS forms the foundation to restructure the SME lending market and help the sector grow. We will be using the data in a variety of ways to create new products for the market, helping lenders better evaluate loan applications. Whether a business needs finance to expand, invest in new technology or open a new office, they will now be able to get faster decisions to help make their plans a reality.”
 

Related News

Thomson Reuters Partners with Squirro to Combine Artificial Intelligence Technology and Data to Unlock Customer Intelligence

Thomson Reuters has partnered with augmented intelligence solution provider Squirro to provide an AI-driven solution that... Read more »

FICO Explains AI with Latest Release of its Analytics Workbench

Leading analytics firm FICO today announced the latest version of FICO® Analytics Workbench™, a cloud-based advanced analytics development environment that empowers business... Read more »

Adyen selects Looker for data management

Looker, a leading data platform company, today announced that Adyen, the payments platform of choice for many of the world’s leading companies, has implemented Looker to... Read more »

BNY Mellon appoints Roman Regelman as head of digital

BNY Mellon has appointed Roman Regelman to a new role as Senior Executive Vice President and Head of Digital, effective September 17, 2018. 

Mr. Regelman will report to... Read more »

Magazine
ALL
Free Newsletter Sign-up
+44 (0) 208 819 32 53 +44 (0) 173 261 71 47
Download Our Mobile App