Approximately 64 million consumers in the United States have no credit history or lack sufficient credit history to generate a credit score, cutting off access to traditional banking services. Finding a way of getting affordable access to credit is of vital importance to the economic well-being of this population. It also represents an untapped market…
Read More about Big Data, a Big Disappointment for Scoring Consumer Credit Risk
A research consultant has recently produced several reports promoting utility company reporting of all customer payment behaviors and transactions to the major consumer reporting agencies (CRAs). Proponents of full utility reporting contend that it is required to help “thin file” and “no file” consumers to build credit history and gain access to bank loans and…
Read More about Full Utility Credit Reporting: Risks to Low Income Consumers
Access to safe and affordable financial products and services is a cornerstone of financial empowerment: this access allows consumers to secure their income and build and grow their assets. However, there are almost 17 million unbanked Americans who do not have bank accounts. These consumers incur higher costs — estimated at up to $40,000 over a lifetime — by using alternative financial services, sometimes predatory, to handle their routine transactions, and often are not able to take advantage of savings and asset building opportunities.
Read More about Account Screening Consumer Reporting Agencies: a Banking Access Perspective
Potentially thousands of extremely low-income elderly and people with disabilities have had their Supplemental Security Income (SSI) benefits cut off erroneously, bringing many of them to the brink of homelessness. Lax matching standards in LexisNexis Accurint reports used by the Social Security Administration (SSA) and a lack of independent investigations by SSA staff lead to improper…
