What will you get from the Repute Score?
The Repute Score for Alternative Finance will be a credit score from SentiLink Repute, a consumer reporting agency, that altfi lenders can use to decision applications before calling a specialty bureau. It will be built on inquiry and tradeline data furnished by participating lenders, and will return a score from 1 to 999 (higher means higher risk) to help enable adverse action decisions.
The Repute Score will enable altfi lenders to approve the lowest-risk leads and decline the highest-risk leads, only sending the uncertain middle to the bureau.
In a retrospective study using one design partner's historical lead funnel, the Repute Score would have enabled the partner to:
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Materially reduce specialty bureau calls by decisioning on ~60% of leads at the Repute step
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Better isolate nonpayment risk: bureau-approved leads scored as highest-risk by Repute were nearly 2x as likely to early default than the portfolio baseline.
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Fund more good leads: bureau-rejected leads scored as lowest-risk by Repute charged off nearly 20% less often than the portfolio baseline when funded by other lenders.
