Envestnet | Yodlee announced the release of its Risk Insight Suite at the LendIt USA conference.
The next generation suite of reports expands Envestnet | Yodlee's Risk Insight offering and complements traditional credit reports through consumer permissioned financial data, providing lenders with critical visibility into a consumer's or small business's comprehensive financial picture and the ability to streamline the application experience.
Lenders traditionally rely on credit reports to make risk decisions, but this only reflects a component of the holistic financial picture of the consumer.
Envestnet | Yodlee Risk Insight Suite of reports provides an up-to-date reflection of account and transaction information obtained directly from financial institutions, providing visibility into assets, income, and expenses.
This critical information enables lenders to make more informed decisions for pre-qualification, origination, underwriting, and account review.
"With the introduction of Risk Insight Suite, Envestnet | Yodlee is enhancing the lending process by offering access to a broader range of data coupled with a flexible calculation engine," said Terry McKeown, Practice Manager, Credit Analytics at Envestnet | Yodlee.
"By using consumer permissioned financial data, lenders can obtain a complete financial picture of a borrower. This is especially true for credit invisible consumers who have no credit file or cannot be scored with traditional models, and for subprime consumers whose transactional data can help lenders make more accurate assessments of risk."
Envestnet | Yodlee Risk Insight Suite of reports enables lenders to enhance and streamline the application experience. Lenders can use the report to fill in credit applications with verifiable and accurate information through a simple process, as well as eliminate the need for paper bank statements or tax returns. The solution includes fully co-brandable consumer and lender experiences as well as that allow for customized deployments to meet lender needs.
The Risk Insight Suite of reports leverages Envestnet | Yodlee's proprietary data enrichment technologies.
Machine learning algorithms that take advantage of the massive scale of consumer data assets within the Envestnet | Yodlee platform are used to clarify and categorize transactional data.
In addition, a flexible, rules based engine powers a series of customizable calculated values and evaluations to simplify review and highlight any issues that require further review.
Envestnet | Yodlee has implemented a Fair Credit Reporting Act (FCRA) compliance framework to manage consumer permissioned data in the same way that a traditional credit bureau does, providing a well-established method to ensure consumer rights are protected and lender responsibilities are clear.
Regularly audited by many of the largest financial institutions and reviewed by the Office of the Comptroller of the Currency (OCC), Envestnet | Yodlee adheres to the strongest operational and security standards in the industry and has the process and experience to protect both lenders and consumers.