Equifax has a proven track record in successfully building and managing Microfinance Data Exchanges in developing parts of the world. In India, we launched our dedicated Microfinance Institution bureau in June 2011.
These are some of our group's achievements across the globe:
- Successfully built Peru's first Microfinance exchange in 1998.
- Successfully built Ecuador's exchange in 2004.
- Built partnerships with local Microfinance associations in order to establish a successful name and gain credibility.
- Integrated data from telecom and utilities to enhance the information depth on reports and scores.
- Scaled to more than 90% hit rates and more than 95% acceptance rate within the first 2 years of bureau operations.
In India, we have worked closely with Microfinance Institutions Network (MFIN), to develop a Microfinance Institution bureau framework. Leveraging the highly adaptable and customizable technology platforms provided by Equifax Inc., we have enabled the swift setup of a microfinance exchange in the country. Our Microfinance Institution bureau offers access to data from our member microfinance institutions. Its proprietary report format with value added features enables easier and faster understanding of the borrower's credit profile and allows lenders to access microfinance institutions' data. We also have microfinance industry-specific search match algorithms which work accurately even with lower data availability.
Our advanced technological and operations systems offer the following:
- Acceptance of input data through multiple methods (all secure and encrypted).
- Weekly/Monthly data updates for swift information availability - Scalable platforms and processes.
- Multiple product delivery channels.
- State-of-the-art infrastructure with high platform availability.
- High levels of customer service for disputes, disclosures and other operational activities.
A highly usable and readable consumer credit report backed by our advanced search and match algorithms will help you assess risk. With our extensive consumer credit database across our members which cover all regions in India and higher data acceptance rates, you can get a complete view of the borrower.
Our Microfinance consumer information report includes
- Identification : Confirm application information with access to the consumer's name, date of birth/age, address and ID information
- Credit Summary: Get a quick overview of consumer's key credit characteristics.
- Recent Activity: Helps you quickly assess consumer's recent activity including accounts which have gone delinquent, new accounts that have been opened, etc.
- Account Details Section: Account-wise details of the consumer's repayment record.
- Inquiries Section: Details the Inquiries made on a consumer.
Microfinance Portfolio Review
An insight driven report that enables strategic decisions for a MFI- can be used for the following
- Benchmarking-Like to like comparison with competition - To understand where the MFI stands in comparison to the other MFIs operating across the chosen dimension
- Early warning indicators – is there a market where the competition has begun to see declining sourcing trends and can the MFI cut their losses early
- Entry Strategy- Is there a market which is lucrative where the MFI needs to focus, how has the market been performing and what is the potential market size
Equifax India has launched the country's first Microfinance Score.
The new Equifax Microfinance Risk Score TM has been developed to leverage the most recent data from its members. This new market-level risk score is designed to predict the likelihood that a customer will default in the next 6 months. The score aims to facilitate automated decision making.
The unique features of the product are:
- Developed specifically for the Indian market, using Indian data, incorporating local market knowledge
- Developed using data from major market players
- Designed to score consumers for evaluating his/her market level risk
- Designed to work with any standard product type
- Definitions consistent with international standards