Upstart, a leading fintech, integrated AI-powered risk modeling and alternative data analysis into its credit scoring and loan approval process. This approach expanded credit access to underbanked populations, increased loan approvals by 27%, and reduced default rates by 16%. AI models analyze thousands of data points, including non-traditional financial behaviors, to provide fairer, more accurate lending decisions and faster underwriting.
Traditional credit scoring excluded many potential borrowers and was slow and biased
AI-driven credit risk assessment using machine learning on diverse data sources, real-time underwriting, and dynamic loan term adjustments