Kreditech is an online banking platform that uses big data to calculate credit suitability instantly for anyone.
We’ve seen examples of companies using alternatives to traditional credit history to provide wider access — for example, a mobile app allows Kenyans to claim loans based on smartphone use. Now, Germany-based Kreditech has built a vast catalogue of big data points to enable the rapid execution of credit applications for ‘underbanked’ customers.
Kreditech analyzes massive amounts of global data — including social networks and ecommerce records — to assess credit suitability. Their algorithms factor 8000 data points in real-time, and enables them to generate a credit score without using any external credit bureau information, since the identification, fraud detection and scoring mechanisms are based on vast, big data. Their integrated platform Monedo provides a customized suite of services including eWallets, all generated through their algorithms, so that any user with a smartphone or laptop can gain access to personal online banking services without prior credit history.
Could similar algorithms be developed for assessing insurance claims?