ePrivacy and GPDR Cookie Consent by Cookie Consent

Pay Day Loan

The payday loan market in Southeast Asia is growing steadily. Many players have entered the market with unique offering, rates, and ease of process to entice non-banked or under banked customers to avail quick and easy loans.

One such player from Indonesia wanted to launch a fully mobile Pay Day Loan application process. However, it faced challenges that stopped the efficiency of the business and lead to heavy losses in terms of high non-performing loans and low approval rates.

The Challenges

  • Launching a mobile-only payday loan
  • Right loan amount, terms, and interest rates
  • Lack of credit bureau and historical financial data

The Solution

  • CredoLab's SDK integration with existing app
  • Scoring the applicant based on the device metadata, in real time
  • AI-powered algorithm converted mobile data into predictable behavioural score

Results

User Adoption

(% of customers who grant permissions)

Drop in Default Rate

Time to Loan

(time from scoring request to disbursement)