Experian 2016 Annual Report Download - page 55

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Highlights 2016
profiles against fraud through our
MeProteja Empresas programme,
which offers an automatic alert to notify
businesses about suspicious information
added to our database. In 2016, our new
Commercial Credit Score Simulator
enabled thousands of small and medium
enterprises in the USA to predict the
effect of different options on their credit
score before applying for a loan. In South
Africa, we partnered with The National
Small Business Chamber to host a
series of workshops to help over 25,000
entrepreneurs understand how to gain
better access to credit.
Fewer than one in five people in
emerging markets have access to
mainstream, affordable credit. But as
mobile networks reach more and more
remote areas, many people who do not
have a bank account do have a mobile
phone and can access mobile money
transfer services. We are using our data,
analytics and expertise to enable people
or small businesses in emerging markets
to access microfinance. These small
loans can transform people’s lives and
support economic development (see
opposite for Sammy Hamoudi’s story).
We are also pioneering innovative ways
to help people without a bank account
or financial history build a credit profile
by embracing alternative forms of data,
such as rental and utility payments, that
have not traditionally been included in
financial profiles.
Social innovation
5.4m
We have exceeded our target
of reaching an additional five
million people ahead of 2018
Credit education
25,000
We help entrepreneurs
understand how to gain
better access to credit
Making a difference
with microfinance
“We knew when we started our MicroAnalytics business that we wanted to make a
really big difference. So it feels great to know that it’s working and we’re helping
millions of people get access to finance. We started working with a large bank in
Kenya, where there are a lot of people who don’t have access to finance. To get a
loan, you’d have to go through a process that lasts weeks, and you’d have to bring
so many documents along to the bank with you. So we told the bank we could turn
this arduous process into an instant one, so customers can quickly log on using
their mobiles to get loans immediately. It works because our technology creates an
accurate risk profile for each client. This means that when someone clicks on the
menu requesting a loan, the system uses that risk profile to define the maximum
amount that the bank can lend them. And it all takes place instantaneously.
We’re only talking small amounts of money for lending. Maybe US$5 to US$120.
But for a lot of people in Kenya, that’s all they need. It means a family can pay for
their groceries, it means a textiles entrepreneur can buy the fabric they need to
make their shirts. The system has been live for a while and processes in excess
of one million loan applications every month, demonstrating that access to instant
loans is a clear need in Kenya. Since then we’ve helped more banks in even
more countries. So it’s just good to know that we’re helping all these small
entrepreneurs, and employees, and families everywhere – we’re making
a difference for them day-to-day.”
Sammy Hamoudi Product and Delivery Director,
Experian MicroAnalytics
Strategic report •Corporate responsibility