Lending strategy
Better referral for declined applicants
At the beginning of this year’s Debt Awareness Week, it was reported that 13% of adults had missed three or more credit or bill payments in the last six months. Credit unions are used to seeing this. For example, between 1 January and 18 March 2023, 29% of borrowers assessed by NestEgg’s Decision Engine had…
Read MoreData driven decisions
As we head from London to the North West to Manchester for the ABCUL conference, NestEgg has compared the data from lending decisions made in these areas. This is to help credit unions make data driven decisions. Overall, lending risk in the North West is higher than the South East (including London). Despite higher incomes…
Read MoreChoosing NestEgg for Open Banking
Open Banking has revolutionised credit assessment. It provides more up to date information. Open Banking reveals spending patterns that are absent from credit data. However, Open Banking can only offer proxies. You can’t be certain that a bounced direct debit means that the loan repayment will be missed. Open Banking can’t tell you overall balances…
Read MoreConsolidation lending for responsible lenders
The Christmas season’s loan rush may not be entirely over for 2023, but it won’t be long until preparations for the next lending campaign are underway. January is traditionally a peak period for consolidation lending, with loans typically higher in value and being repaid over a longer duration. This results in increased revenue for lenders.…
Read MoreGrowing the mutual lending sector: what is the data showing us?
In October 2023 we were host to a packed event with credit unions and stakeholders to discuss growing the mutual sector during a tougher lending climate. Expert speakers discussed the data, lending risk and Information Technology. Tough times for mortgagees We kicked off the event by looking at the data. Borrowers to credit unions are…
Read MoreHow should Northern Ireland credit unions respond to rising interest rates and affordability issues?
With rising interest rates, the cost of living crisis and affordability issues, Northern Ireland households are under financial pressure. It’s becoming harder for you to lend to new and existing members and support your community. Overall, accept rates for loans fell by 5% between 2022 and 2023 in line with the fall in credit scores.…
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