Nordigen income verification engine has helped TF Bank significantly improve their loan portfolio quality.
Nordic internet-based bank TF Bank sought to decrease their loan portfolio risk and improve how they identify high-risk loan applicants in Latvia. The company aimed to achieve this by improving the accuracy of their loan applicant screening process, while maintaining the loan application processing speed and preserving the same level of customer experience.
The bank's main challenge was efficient insight generation from raw account data, further using it for more accurate creditworthiness evaluation and ultimately better credit decisions. TF Bank sought a solution that would be quick to implement and easy to use, allowing them a short time-to-market.
Nordigen's income verification engine has helped TF Bank identify and reject up to 35% more high-risk loan applicants with high default probability.
"We know how complex and expensive it is to build and maintain a categorisation engine internally so we use Nordigen to help us extract value from account data and apply the insights it provides in our applicant screening processes," says TF Bank Country Manager for Latvia Juris Pūce.
TF Bank is an internet-based niche bank offering consumer banking services through its proprietary IT platform with a high degree of automation. Starting out as a consumer loan and sales finance mail order business in Sweden in 1987, TF Bank currently carries out deposit and lending activities with consumers in Sweden, Finland, Norway, Denmark, Poland, Germany, Estonia, Lithuania and Latvia through subsidiaries, branches or cross-border banking.