Experian® today announced the launch of Cashflow Attributes™, a groundbreaking solution to help expand fair and affordable access to credit, particularly for thin-file and credit invisible consumers. With over 900 income, cashflow and affordability attributes, Experian’s cashflow insights are available now and allow lenders to seamlessly integrate banking data into their decision-making*.

A consumer’s credit report is the most effective means to assess lending risk; however, nearly 106 million U.S. consumers are unable to secure credit at mainstream rates either because they are credit invisible, unscoreable by conventional credit scores, or have a subprime or below credit score.1 Layering traditional credit report data with cashflow insights helps create a more detailed view of a consumer’s financial health and creditworthiness for lenders and can provide more opportunities for consumers.

Why it’s important:

  • Financial inclusion: 42% of adults lack a conventional credit score in a range that typically grants access to credit at standard rates2. Cashflow Attributes, which leverages checking and savings account information, offers a more comprehensive view of an individual’s financial profile. Using traditional credit data with lender-obtained cashflow information may unlock opportunities for consumers who may not have qualified if a lender was using traditional credit data on its own.
  • Enhanced predictive accuracy: While cashflow insights** are predictive on their own, when viewed with traditional credit information from Experian and expanded Fair Credit Reporting Act data, Cashflow Attributes can boost predictive accuracy by up to 20%3 allowing lenders to drive revenue growth while mitigating risk.
  • Consumer willingness: Experian's research shows 71% of consumers are willing to share their banking information if it increases their chances of credit approval.4

“Supporting financial inclusion and creating an equitable path to credit is ingrained in our DNA,” said Scott Brown, group president Experian Financial and Marketing Services. “We believe banking information holds untapped potential and that our new Cashflow Attributes represent an exciting step forward that can easily be integrated into lending decisions. As we look ahead, we will continue to leverage our core credit data, new data elements and our analytics expertise to unlock new opportunities for both consumers and businesses.”

How Cashflow Attributes works:

  1. Lenders requesting Cashflow Attributes provide Experian with depersonalized transaction information from their existing customers or with consumer-permissioned account information from other banks.
  2. Next, Experian, as a service provider to its lender clients, analyzes and categorizes the information using its proprietary categorization model.
  3. And in seconds, Experian delivers the transaction categories and predictive attributes back to the lender.

Experian’s proprietary categorization model can also be leveraged independently by lenders to gain deeper insights, drive more personalized experiences, and help improve financial management tools.

About Experian

Experian is the world’s leading global information services company. During life’s big moments – from buying a home or a car, to sending a child to college, to growing a business by connecting with new customers – we empower consumers and our clients to manage their data with confidence. We help individuals to take financial control and access financial services, businesses to make smarter decisions and thrive, lenders to lend more responsibly, and organisations to prevent identity fraud and crime.

We have 22,000 people operating across 32 countries and every day we are investing in new technologies, talented people, and innovation to help all our clients maximise every opportunity. With corporate headquarters in Dublin, Ireland, we are listed on the London Stock Exchange (EXPN) and are a constituent of the FTSE 100 Index.

Learn more at www.experianplc.com or visit our global content hub at our global news blog for the latest news and insights from the Group.

Experian and the Experian trademarks used herein are trademarks or registered trademarks of Experian and its affiliates. Other product and company names mentioned herein are the property.

* Provided lenders have use rights to utilize such banking data in decision-making

1 https://www.experianplc.com/newsroom/press-releases/2022/experian-and-oliver-wyman-find-expanded-data-and-advanced-analytics-can-improve-access-to-credit-for-nearly-50-million-credit-invisible-and-unscoreable-americans

2 https://www.experianplc.com/newsroom/press-releases/2022/experian-and-oliver-wyman-find-expanded-data-and-advanced-analytics-can-improve-access-to-credit-for-nearly-50-million-credit-invisible-and-unscoreable-americans

3 Experian analysis based on GINI predictability. GINI coefficient measures income or wealth inequality within a population, with 0 indicating perfect equality and 1 indicating perfect inequality, reflecting predictive capability.

** Cashflow insights as delivered by Experian are not considered Experian consumer reports.

4 Experian commissioned Atomik Research to conduct an online survey of 2,005 adults throughout the United States. The makeup of the sample is representative of the U.S. population based on national census data regarding demographic variables such as gender, age and geographical regions. The margin of error for the overall sample is +/- 2 percentage points with a confidence level of 95 percent. Fieldwork took place between March 17 and March 21, 2024.