Creditinfo Localises Credit Scoring, Cites High Credit Card Usage
Jamaica’s loan market was valued at $544 billion throughout the banking system at the end of 2015. Credit-card transactions in that year topped $212 billion. It reflected an annual increase of 10.6 per cent in the value of transactions, while volumes rose 13.5 per cent to 14.7 million transactions, according to Central Bank data.
From May 2016, Creditinfo Jamaica will now provide localised credit scores. Previously, although Creditinfo Jamaica provided access to credit scores since October 2013, the score offered then was based on an expert model. Simply put, the model used then was based on certain features from another market with vast similarities to Jamaica. The localisation of credit scores typically requires nine to 18 months of consecutive data and a rigorous assessment process. The localised score model will help both consumers and lenders as it is more predictable than the expert model and therefore affords a better decision process for subscribers.