Credit infrastructure and analytics company Nova Credit has joined forces with API-connected data access network Akoya to help US lenders access and verify customers’ cash flow and income data.
The aim is to enable lenders to deploy cash flow and income analytics to improve credit decisioning, ahead of the Consumer Financial Protection Bureau’s (CFPB’s) upcoming Open Banking rulemaking.
Akoya’s bank data connectivity means lenders are able to approve new customers, including what it called “misunderstood” credit populations, and offer new products, all without increasing their risk appetite.
“Combining Akoya’s connectivity with Nova Credit’s expertise in cash flow analytics empowers credit decision-makers to better understand their customers, driving responsible growth, financial inclusion, and improved risk management at a time when traditional credit bureau data is murkier than ever,” said Misha Esipov, co-founder and chief executive officer of Nova Credit.
“As the industry embraces Open Banking, we look forward to deepening our relationship with Akoya to deliver the industry’s leading cash flow solution-boosting coverage, improving uptime, and meeting the banks’ analytics and compliance needs.”
In October last year, the CFPB proposed the Personal Financial Data Rights rule, under which individuals in the US would be able to share data about their use of checking and prepaid accounts, credit cards, and digital wallets, and to access competing products and services, without their data being collected, used, or retained to “serve commercial interests over their own”.
Akoya’s chief executive officer Paul LaRusso added: “Akoya continues to simplify and secure data access in the Open Banking era, and our partnership with Nova Credit is a perfect example of the value that can result for both lenders and consumers when people have greater access to, and control over, their financial data.
“Together, we can provide an Open Banking-powered solution that delivers cash flow and credit risk analytics atop our high-fidelity data network, enabling a seamless user experience and financial opportunities to more people.”
Earlier this year, white-labelled data platform 9Spokes formed a partnership with Akoya to provide its clients and their SMB customers with an expanded range of financial insights.
