Experian's Clarity data

Alternative financial services data is essential and supplemental to include in lending strategies and decisioning. Experian owns the largest alternative financial services specialty bureau, Clarity Services, which gives financial institutions access to unique insights on more than 62 million U.S. consumers. These consumers relay on alternative finance such as small-dollar installment loans (online and brick-and-mortar), point-of-sale financing, rent-to-own and auto-title loans. The data provides more insight into full and thin-file consumers which drives greater visibility and transparency around inquiry and payment behaviors for lenders.

Approximately 25 percent of U.S. consumers are considered “thin file” because they have fewer than five items in their traditional credit histories. These people often face significant obstacles in obtaining credit. Adding in information such as alternative finance data may give these consumers more access to credit.