Consumer lending is set to record a major boost in the country with the introduction of ‘FICO Score’ by CRC Credit Bureau Limited in partnership with Fair Isaac Corporation (FICO), an American company with over 50 years of experience in data and analytics.
The Managing Director/Chief Executive Officer, CRC Credit Bureau, Mr. 'Tunde Popoola, at the unveiling of the ‘CRC FICO Score’ in Lagos on Tuesday, said the development would help banks and other retailers to “appropriately dimension the risk on borrowers who are basically individuals.”
“CRC FICO Score will know the risk level of every borrower and will enable lenders to dimension them whether into good, excellent, average or bad. And with that, they can now have profiles of relationship they want to have with such an individual,” he said.
Specifically, he said it would enable private individuals to borrow and help lenders to give loans to people who are credit-worthy based on the information they will get from the CRC FICO Score.
According to the CEO, CRC FICO Score is a three digit score ranging from 300 to 850.
He explained that the higher the credit score, the better the person is rated and the lower it was the higher the risk the individual is carrying.
Mr. Popoola said, “FICO is the number one credit score solution provider in the world. The company operates in about 90 countries in the world and releases over 100 billion scores every year. This is an opportunity we have been waiting for in Nigeria.
He added, “Those who score between 700 and 850 are excellent people and such people you give loans or sell on credit to them at very reasonable prices or lower interest rates and probably without any condition attached. Those who score around 400 and 500 are considered to be ‘risky’ and they attract higher interest rates because they are carrying risk and such people also attract collateral.”
In his remarks, South Africa Country Manager, FICO, Derick Cluley, described FICO Score as a game changer that had just been introduced to Nigeria.
For more information on the event, please visit the Gallery and Resources sections of the website, or call 08182152026 to get your CRC FICO Score now.