As credit card usage declines and consumers turn to alternative lending, access to data outside of credit accounts is necessary for any company looking to improve the way customers borrow and repay money. To help fintechs and lenders gain insights into all their customer’s liabilities, open banking platform Basiq has launched External Liabilities to surface loan data across Australia’s most popular buy now pay later and alternative lenders.
Fintechs have done a great job of fostering financial inclusion for underbanked consumers. Whether it’s zero per cent interest, faster approvals or flexible finance at point of checkout, borrowing money is more customer-centric and convenient than ever. The average consumer only needs to visit the app store for a growing number of options that give them access to credit in minutes.
For Basiq CEO and founder, Damir Cuca, as innovation makes borrowing easier, it’s just as important to help consumers manage and make repayments.
He said: “Today, most fintechs and lenders only have limited visibility into a customer’s liabilities. This makes it difficult to help customers track, manage and consolidate debt. Our goal is to accelerate market innovation to guide customer’s into affordability and financial wellness.”
Basiq’s data network allows customers to link liabilities data from over 100 financial institutions for a complete picture of their loan obligations. Recently, the platform added support for External liabilities, a feature that surfaces data from Australia’s most popular BNPLs and alternative lenders.
Access to data is real-time, meaning fintechs and lenders can gain actionable insights on a customer’s financial position for faster, better lending or to personalise the way customers make repayments.
Innovators can also differentiate further by taking advantage of the ongoing access to data to retain and nurture customers out of financial hardship and into financial wellness. This is especially powerful when combined with Basiq’s ability to aggregate data across liabilities, assets, income and expenses for the full financial picture of a customer.