Nordigen's transaction categorization engine helped alternative lender Wandoo identify high-risk creditors with considerably higher accuracy.
Alternative lender Wandoo sought to improve its loan portfolio by approving more creditworthy customers. To achieve this, Wandoo required a web solution for processing raw account data received from their account aggregator, as well as conducting income verification and identifying the 'red flags' of potential 'high-risk' loan applicants.
In 2018, Wandoo tested Nordigen's transaction categorisation engine on data provided by their existing account aggregator. Wandoo used Nordigen's web interface system - uploading account aggregator's data straight onto the browser and receiving instant results.
After testing Nordigen's solution, Wandoo's credit risk team concluded that Nordigen's solution can help Wandoo identify high-risk loan applicants with significantly higher accuracy than their existing alternative. Additionally, Wandoo estimates that consistent use of Nordigen's solution could result in a substantial improvement in repayment.
“We're thrilled to help Wandoo leverage the possibilities of Open Banking to their advantage. “Better data categorisation means approving more creditworthy customers and having fewer defaults, which benefits the entire fintech industry. We're glad to be part of Wandoo's success,” says Nordigen CEO Rolands Mesters.
Wandoo Finance Group is a professional IT systems developer based in Latvia, and operating alternative lending business in Spain, Poland, Denmark, Georgia and Russia. They employ more than 100 people who have developed and launched over 30 financial services and IT ecosystems across Europe and North America. Wandoo is passionate about building, launching and scaling businesses and products that are leaner, more agile and more adaptive than the competition.
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