Tag: Lending
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Are banks good at lending?
The landscape of financial lending has undergone significant changes over the past few decades. At the forefront of this evolution is bank lending, a traditional pillar of financial support for individuals and businesses alike. As an integral part of the economy, bank lending has been scrutinized, with questions raised about its effectiveness and efficiency. Are…
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What is Decentralised Finance or Defi?
In the modern financial world, where innovations are constant and revolutionary ideas emerge frequently, a novel term has caught the attention of industry experts and enthusiasts alike: Decentralised Finance. Commonly known by its acronym, DeFi, this concept represents a significant departure from the norms of traditional banking structures. But as we peel back the layers,…
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Top Trends in Fintech in 2022
It is this time of the year. You know when it is mostly gloomy, cold and grey. Great time, isn’t it? Not everywhere, obviously. There are a lucky few that are enjoying some fantastic weather somewhere right now, summer-like vibes. Guilty as charged. But most importantly, it is the time of the yearly predictions. Defining…
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How Fintechs are Leveraging Technology to Develop New and Innovative Credit-Scoring Models
The more effective your credit scoring model is, the better your bank’s lending programs will be. More than any other factor, how deeply your financial institution determines prospective borrowers will decide the size and profitability of your lending book. Your loan decision process has to be fast, accurate, and low-risk. That is if you want…
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What’s next for student finance? Interview with Ethan Fraenkel
Student finance is a mess in many countries… Unless you are lucky to live in a country where the university fees are free and of quality… Higher education is often a quite a challenge from a personal finance perspective. Most students are faced with a tough choice: trying to borrow large amounts or skip university…
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What next for P2P lending? Interview with Janis Eismonts
Peer-to-peer lending has boomed in recent years, particularly in the US and the UK. And so has the funding funnelled to these companies. It had been also quite popular in China between 2011 and 2015, because lending there was really ripe for disruption. Until we realised that most Chinese P2P lenders were in fact Ponzi…
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BNPL: Consumer Acceptance and the Opportunities for Banks
This is a guest post by Jaimini Pattani, Senior Retail Banking Analyst at GlobalData, a data analytics and consulting company headquartered in London. COVID-19 has significantly changed the mindset of consumers in terms of the way they want to manage and spend their money. Low interest savings rates and either a surplus or lack of…
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Big Tech in Financial Services
Beware, Big Tech is here to eat your lunch. That is today’s equivalent for the financial services industry of the great communist threat during the Cold War. What’s behind “Big Tech” then? Usually, we mean FAMGA: Facebook, Apple, Microsoft, Google and Amazon. Some people instead look at FAANG: Facebook, Apple, Amazon, Netflix and Google. Or…
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5 top trends for fintech in 2021
It is this time of the year. No, not the Mariah Carey’s “All I want For Christmas Is You” time of the year. The moment just after that, when the year starts and everybody is trying to make predictions. This time around, it will be the 2021 trends for fintech. It is actually quite fun…
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Are fintechs better at lending than banks?
Banks have been lending money to people and businesses for a long, long time. A lot of the incumbent banks can trace their roots back to the 19th century. Banca Monte dei Paschi di Siena, which is the oldest bank in existence, was founded in 1472. Although they often rely on cranky processes and old…