Research: Alt lending model outperforms credit score on opening up lending

An academic paper studying anonymized administrative data from fintech lender Upstart Network found its alternative credit-decisioning model could widen the pool of potential borrowers more than traditional credit models. “Invisible Primes: Fintech Lending with Alternative Data” found that a traditional counterfactual model, developed in coordination with the Consumer Financial Protection Bureau (CFPB) and used for […]