Discover Equifax’s ‘Affordability 360’ solution at OBExpo UK & Europe

What if you could approve more customers with more confidence?

Assessing affordability is becoming an increasing priority for lenders, driven by the rising cost of living, and new Consumer Duty regulations, which have amplified the need for more robust ways to assess consumer affordability.

Traditionally, lenders have relied on government statistics to help them estimate expenditure within their own affordability assessment models. 

This is why Equifax created ‘Affordability 360’.

By combining credit and transaction data via Open Banking, with statistical estimates from the Office for National Statistics (ONS) and Minimum Income Standards (MIS), all delivered through a single channel, Affordability 360 provides a more accurate view of income and expenditure.

Helping you make more informed lending decisions and enabling you to automatically assess affordability for more credit applications, without the need for manual referral.

Equifax research shows reliance on a single data source is unlikely to offer an accurate view of income and expenditure and lenders could increase approvals of ‘low affordability’ consumers by up to 26% when using a combination to assess affordability [1].

Using the best possible source of data on an individual basis to calculate disposable income, Affordability 360 helps track how rising prices are affecting your customer’s essential spending in real-time.

Equifax is an official stage partner of Open Banking Expo UK & Europe on 15-16 October, hosting sessions titled ‘Harnessing Open Banking for growth, trust, and better customer outcomes’ and ‘Is Open Banking solving the financial inclusion challenge?’. Click here to find out more about attending, exhibiting and sponsoring.

Please visit the Equifax stand to talk to our team about how we can help you with Open Banking solutions.

[1] Source: Equifax 2023. Consumers were classified as having low affordability based on CATO Affordability Index – Non tier 1 banding 4 and we observed their performance in the following 12 months and marked them as ‘Good’ or ‘Bad’ based on whether these customers had defaulted on any financial agreements. Based on a sample of more than 30,000 applicants who completed an Open Banking journey.