AdviceRobo developed, tested and validated its psychographic risk scoring that currently, as alternative credit score, is operational across different geographies in Europe and Asia. It offers additional insights in the creditworthiness of thin file customers applying for a loan, mortgage or credit card. The solution comes with a score, a profile and a decision strategy.

Benefits psychographic credit scoring

  • Safely originate new accounts

  • Increased acceptance rates up to 30%

  • Better risk scoring in on boarding process

  • Safe and secure data flow

  • Based on academic research and real life testing

  • Easy integration in current process via Plug-in, white labeled

  • Additional behavioural information

  • Low cost PAAS solution

  • API Connectivity and fast set up process

  • Continuous improvement of scoring

Case study

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Customer:

  • European bank which offers micro finance
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Goals:

  • To improve the acceptance rate with 10%
  • To keep the risk level at default rate of 30%
  • To decrease the paperwork for customers and the bank itself

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Solution:

  • A back test of the psychometric scoring on the existing customer base
  • Analysis of the psychometric scoring against the customers’ behavioural data
  • Implementation of the psychometric scoring in the on boarding process
  • Analysis on the results of the implementation in terms of acceptance and risk
  • Development of risk and marketing strategies

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Results:

  • Increase acceptance rate of 20%
  • Risk rate same level: default rate 30%
  • Advice on rejects of ‘bad’ customers formerly accepted
  • Advice  on optimization acquisition sources

AdviceRobo is an innovative partner supporting us with their psychometric credit scoring. Our cooperation really adds value to our business. They are a great bunch of people. We are happy to team up with them and benefit from their knowledge.
— Hergen Dutrieux, co-founder Viisi