The document discusses considerations for developing credit bureaus in emerging markets based on the experiences of Compuscan, a South African credit bureau. It covers topics such as obtaining data from lenders with limited infrastructure, reporting challenges due to short loan terms and lack of technology, developing credit scoring models with less reliable identifying data, and the need for extensive technical support, training, and public awareness campaigns to establish an effective credit bureau.
Advancing credit services through the application of credit bureau technologyFrank Lenisa
The document discusses advancing credit services through the application of credit bureau technology. It notes that the G20 has prioritized financial inclusion and that over 2.7 billion people lack access to basic financial services. Credit bureaus are described as critical financial infrastructure that collect credit histories to provide to lenders. They add value through risk scores and application processing software. Integrating alternative data like utilities and telecom payments can expand the information available to credit bureaus. Advancing financial inclusion responsibly through technology provides opportunities to increase access to more people.
Compuscan is a South African company established in 1994 that collects, validates, and distributes consumer credit information. It has 200 employees and offers products and services like credit bureau data, credit scoring, loan management software, collections services, and training. Compuscan also operates in other African countries by building credit bureaus and provides credit reporting.
The document analyzes the impact of South Africa's 2006 credit amnesty. It finds that most (64%) of consumers who benefited from having negative credit information removed subsequently took on new credit. However, most (74%) of these consumers quickly fell into delinquency on their new accounts. The amnesty did not appear to change habitual defaulting behaviors. It may have put consumers in a worse position by granting credit based on inaccurate credit reports. The amnesty also impacted credit providers by increasing risks and defaults. Ongoing removal of data through standard retention periods achieves "continuous amnesty" without these drawbacks.
This document discusses the challenges in SME lending and how SME credit bureaus can help overcome them. It notes that collecting payment data from trade suppliers is particularly challenging for credit bureaus due to the diversity of suppliers and lack of incentives. A case study from South Africa showed that obtaining this data requires significant resources to engage suppliers. The document proposes ideas like expanding legal mandates and stakeholder funding to help credit bureaus better collect the most predictive SME data like payment histories and principal credit records.
The document discusses a user forum for HP Revenue Intelligence that was held in Antalya, Turkey from March 19-20, 2012. It covers topics around fraud and credit risk management, including the relationship between fraud and credit risk systems, credit risk management solutions implemented between 2006-2010, enhancements to the graylist pool, expectations before implementing a new Credit Risk Management System (CRMS) project, highlights and accomplishments of the CRMS project, and examples of credit risk operations with the new system.
Technology Changing The Face Of MicrofinanceJohn Owens
Technology is now changing the face of microfinance by providing new ways to provide financial services to low income households.
This presentation was given at the InterPacific Bar Association Annual Conference in Manila, Philippines on April 30, 2009.
Core Banking Transformation: Solutions to Standardize Processes and Cut CostsIBM Banking
IBM Banking Industry Framework for Core Banking Transformation (CBTF) has many assets, tools, methods and accelerators to help banks standardize and link core processes seamlessly and reduce point-to-point interfaces to cut cost and complexity.
Advancing credit services through the application of credit bureau technologyFrank Lenisa
The document discusses advancing credit services through the application of credit bureau technology. It notes that the G20 has prioritized financial inclusion and that over 2.7 billion people lack access to basic financial services. Credit bureaus are described as critical financial infrastructure that collect credit histories to provide to lenders. They add value through risk scores and application processing software. Integrating alternative data like utilities and telecom payments can expand the information available to credit bureaus. Advancing financial inclusion responsibly through technology provides opportunities to increase access to more people.
Compuscan is a South African company established in 1994 that collects, validates, and distributes consumer credit information. It has 200 employees and offers products and services like credit bureau data, credit scoring, loan management software, collections services, and training. Compuscan also operates in other African countries by building credit bureaus and provides credit reporting.
The document analyzes the impact of South Africa's 2006 credit amnesty. It finds that most (64%) of consumers who benefited from having negative credit information removed subsequently took on new credit. However, most (74%) of these consumers quickly fell into delinquency on their new accounts. The amnesty did not appear to change habitual defaulting behaviors. It may have put consumers in a worse position by granting credit based on inaccurate credit reports. The amnesty also impacted credit providers by increasing risks and defaults. Ongoing removal of data through standard retention periods achieves "continuous amnesty" without these drawbacks.
This document discusses the challenges in SME lending and how SME credit bureaus can help overcome them. It notes that collecting payment data from trade suppliers is particularly challenging for credit bureaus due to the diversity of suppliers and lack of incentives. A case study from South Africa showed that obtaining this data requires significant resources to engage suppliers. The document proposes ideas like expanding legal mandates and stakeholder funding to help credit bureaus better collect the most predictive SME data like payment histories and principal credit records.
The document discusses a user forum for HP Revenue Intelligence that was held in Antalya, Turkey from March 19-20, 2012. It covers topics around fraud and credit risk management, including the relationship between fraud and credit risk systems, credit risk management solutions implemented between 2006-2010, enhancements to the graylist pool, expectations before implementing a new Credit Risk Management System (CRMS) project, highlights and accomplishments of the CRMS project, and examples of credit risk operations with the new system.
Technology Changing The Face Of MicrofinanceJohn Owens
Technology is now changing the face of microfinance by providing new ways to provide financial services to low income households.
This presentation was given at the InterPacific Bar Association Annual Conference in Manila, Philippines on April 30, 2009.
Core Banking Transformation: Solutions to Standardize Processes and Cut CostsIBM Banking
IBM Banking Industry Framework for Core Banking Transformation (CBTF) has many assets, tools, methods and accelerators to help banks standardize and link core processes seamlessly and reduce point-to-point interfaces to cut cost and complexity.
Strategies for Payment Systems PlanningGary Farrow
Payments systems modernisation provides one of the most challenging IT planning problems. This article proposes and evaluates a variety of strategies to achieve simplification of a banks payments systems.
Open Banking : The Rise of the Cloud PlatformGary Farrow
This paper explores how traditional banking system architectures will be affected by the emergence of open banking. Platform models for open banking are proposed that accommodate both supply and demand-side solutions. On the demand side, the network effects of open banking platforms and their limitations are discussed.
The Red Flag Rule requires financial institutions and creditors to implement identity theft prevention programs to detect potential identity theft in customer accounts. It outlines four key elements programs must have: policies to identify and address red flags for covered accounts, detect red flags, respond appropriately, and update the program periodically. Financial institutions are responsible for determining their own red flags and detecting them, which can be done through verifying customer information, authenticating accounts, monitoring transactions, and validating address changes. When red flags are detected, the regulation provides examples of potential responses like monitoring accounts, contacting the customer, or closing the account.
Experience in Supervising Banks and Non-banks Operating through AgentsCGAP
Agent supervision is still an underdeveloped area in the majority of countries with the exception of a few countries that have created comprehensive and detailed supervisory frameworks, encompassing all phases, from licensing to monitoring, from inspections to enforcement.
The majority of countries have not yet fully developed their supervisory procedures to identify and mitigate agent risks, acting on a more reactive and ad-hoc basis.
The approach in supervising agents varies considerably depending on the overall approach taken by supervisors (with some being more intrusive and some more lax in supervising the financial sector)
In the countries where nonbanks (e.g. mobile money providers) have extensive agent networks (e.g. Tanzania), there is disparity in the approach to supervising bank-based vs. nonbank-based agents
The document provides an overview of the complex Canadian payments system landscape, which involves a wide range of stakeholders. There is significant innovation and choice in payment methods for consumers and businesses. The regulatory environment is also complex, with multiple regulators and government bodies involved. Key trends include the declining use of cheques and growing electronic payments, as well as innovation centered around consumer payments.
Banking Solutions: Managing Customer Data to Improve EfficiencyIBM Banking
The document discusses how banks can improve the customer experience through front office transformation. It recommends developing a single customer view, leveraging customer interaction data to enhance customer centricity, and implementing a personalized multi-channel strategy. This will allow banks to better understand customers, develop tailored products and services, and attract and retain customers. The document also provides examples of how IBM is helping banks implement technologies like customer analytics, digital banking solutions, and an open service-oriented architecture to power a customer-focused enterprise.
The document provides an overview of the interim permission and full authorization processes firms must go through to be regulated by the Financial Conduct Authority (FCA) for consumer credit activities. It discusses what interim permission allows, how to register for it, and obligations during the interim period. It then outlines the full authorization application process, including required documentation, threshold conditions, alternatives to authorization, and timelines firms should expect. The document aims to help firms navigate the transition to the new regulatory regime for consumer credit which begins on April 1, 2014.
The document discusses the challenges that financial institutions face in complying with amended Regulation E, which requires opt-in for overdraft fees on ATM and debit card transactions. It outlines strategies that institutions are taking, such as discontinuing overdraft services, maximizing opt-ins, increasing debit card usage, implementing new pricing, and reducing deposit account costs. Specific tactics discussed include segmenting customers, multi-channel opt-in campaigns, debit card activation promotions, and process optimization.
PSD2 Building Certainty : Payments Knowledge Forum 2015The ID Co.
The Payments Knowledge Forum (PKF) has been set up by payments system users to facilitate the exchange of mutually useful, practical and relevant information.
miiCard's Kevin Trapp joined the 2 day conference to discuss PSD2 developments and the role of DirectID in creating trust in online payments.
UK Open Banking / Open ID Foundation WorkshopGary Farrow
The document discusses evaluating different authentication flows for Open Banking, including redirection, embedded, and decoupled authentication. It aims to assess each flow's alignment with PSD2 regulations, understand customer experience impacts, and implications for business models. The evaluation will consider authentication journeys across web and mobile applications to provide recommendations to the Implementation Trustee.
The document discusses interchange fees, which are paid to credit card issuers for cards processed by merchants each month. It explains that interchange fees, along with association fees paid to credit card networks and discount fees paid to processors, make up the various fees deducted from merchant statements. The majority of these fees are interchange fees, which are set by credit card networks and non-negotiable for merchants. The document provides examples of interchange and association fees for Visa, MasterCard and Discover transactions.
Global Payment System- Reference ArchitectureRamadas MV
The document does not contain any text to summarize. It only contains the abbreviation "ST" which provides no context or meaningful information to summarize in 3 sentences or less.
Consumer durable loans are small loans which help a customer to buy home appliances with easy EMI options
This type of loan is used exclusively to purchase durable products like washing machines, refrigerators, TVs, VCRs, scooters, home appliances, computers etc.
The main suppliers of consumer credit are foreign & commercial banks ,finance companies
The consumer durable loan comes in use when a customer wants to upgrade their lifestyle but cannot help because of the lack of liquid fund
The loan amount is disbursed directly to the seller’s account and the repayment of the loan happens in installments
The payment period range between 12 - 60 monthly installments
The down payment ranges between 20-25% of the cost
The rate of interest is normally expressed at a flat rate; the effective rate of interest is generally not disclosed
In some schemes, the rate of interest is not disclosed, instead the EMI associated with the different repayment periods is mentioned
They also provide for either a rebate for prompt payment and charge for delayed payment
Nelito Systems Ltd. is an IT solutions and services company focused on the banking and financial sector. It has over 1200 professionals and has executed over 75 projects in 20 countries. It provides core banking solutions, lending management systems, regulatory reporting, analytics, and mobility solutions. Some of its key products include FinCraft core banking suite, data archival and retrieval solution FinDart, and enterprise regulatory reporting. It has over 400 banking clients including commercial banks, co-operative banks, NBFCs, and MFIs. It is recognized by analysts like Gartner and Forrester and has offices in India, USA, UK and other countries.
The document discusses the importance of information technology in banking and financial services. It outlines various business drivers that motivate banks to adopt new technologies like personalized web experiences, self-service capabilities, improved workforce productivity, and regulatory compliance. The document also discusses perspectives of different stakeholders in banking technology including customers, business users, IT staff, regulators, system integrators, software vendors and hardware vendors. It provides an overview of typical system selection processes undertaken by banks to replace legacy systems.
The document summarizes the retail banking system in India as presented by Varsha Golekar. It discusses how retail banking has shifted from being credit and risk focused to being more customer centric. It provides an overview of the products, services, and processes involved in retail banking. Specifically, it describes TJSB Sahakari Bank Ltd's centralized retail banking cell and its processing of retail loans. It discusses the key risks in retail banking and the general documents required for loan applications and recovery processes.
Computerized banking system is a proven, secure, modular, on-line, real-time, flexible, scalable, multi-currency. It is user friendly, easy to manage, and easy to operate information system, based on fully integrated and co-operative components.
Major bank enterprise payment hub automation framework Abhinav Das
The document discusses a case study of providing test automation for a large private sector bank in India. The bank needed an open source solution to automate testing of its complex Enterprise Payment Hub (EPH) system, which integrates multiple applications. TenXLabs delivered a standardized automated solution within 3 months using an Eclipse-based framework. This provided benefits like handling different messaging protocols and formats through a single-click solution, accurate visibility of integration points, and reduced dependency on business teams.
The document summarizes various remedies for breach of contract, including damages, mitigation of damages, rescission and restitution, specific performance, reformation, and recovery based on quasi-contract. It also discusses election of remedies, waiver of breach, and contract provisions limiting remedies. It analyzes three cases involving mitigation of damages, liquidated damages vs. penalties, and recovery based on quasi-contract.
Strategies for Payment Systems PlanningGary Farrow
Payments systems modernisation provides one of the most challenging IT planning problems. This article proposes and evaluates a variety of strategies to achieve simplification of a banks payments systems.
Open Banking : The Rise of the Cloud PlatformGary Farrow
This paper explores how traditional banking system architectures will be affected by the emergence of open banking. Platform models for open banking are proposed that accommodate both supply and demand-side solutions. On the demand side, the network effects of open banking platforms and their limitations are discussed.
The Red Flag Rule requires financial institutions and creditors to implement identity theft prevention programs to detect potential identity theft in customer accounts. It outlines four key elements programs must have: policies to identify and address red flags for covered accounts, detect red flags, respond appropriately, and update the program periodically. Financial institutions are responsible for determining their own red flags and detecting them, which can be done through verifying customer information, authenticating accounts, monitoring transactions, and validating address changes. When red flags are detected, the regulation provides examples of potential responses like monitoring accounts, contacting the customer, or closing the account.
Experience in Supervising Banks and Non-banks Operating through AgentsCGAP
Agent supervision is still an underdeveloped area in the majority of countries with the exception of a few countries that have created comprehensive and detailed supervisory frameworks, encompassing all phases, from licensing to monitoring, from inspections to enforcement.
The majority of countries have not yet fully developed their supervisory procedures to identify and mitigate agent risks, acting on a more reactive and ad-hoc basis.
The approach in supervising agents varies considerably depending on the overall approach taken by supervisors (with some being more intrusive and some more lax in supervising the financial sector)
In the countries where nonbanks (e.g. mobile money providers) have extensive agent networks (e.g. Tanzania), there is disparity in the approach to supervising bank-based vs. nonbank-based agents
The document provides an overview of the complex Canadian payments system landscape, which involves a wide range of stakeholders. There is significant innovation and choice in payment methods for consumers and businesses. The regulatory environment is also complex, with multiple regulators and government bodies involved. Key trends include the declining use of cheques and growing electronic payments, as well as innovation centered around consumer payments.
Banking Solutions: Managing Customer Data to Improve EfficiencyIBM Banking
The document discusses how banks can improve the customer experience through front office transformation. It recommends developing a single customer view, leveraging customer interaction data to enhance customer centricity, and implementing a personalized multi-channel strategy. This will allow banks to better understand customers, develop tailored products and services, and attract and retain customers. The document also provides examples of how IBM is helping banks implement technologies like customer analytics, digital banking solutions, and an open service-oriented architecture to power a customer-focused enterprise.
The document provides an overview of the interim permission and full authorization processes firms must go through to be regulated by the Financial Conduct Authority (FCA) for consumer credit activities. It discusses what interim permission allows, how to register for it, and obligations during the interim period. It then outlines the full authorization application process, including required documentation, threshold conditions, alternatives to authorization, and timelines firms should expect. The document aims to help firms navigate the transition to the new regulatory regime for consumer credit which begins on April 1, 2014.
The document discusses the challenges that financial institutions face in complying with amended Regulation E, which requires opt-in for overdraft fees on ATM and debit card transactions. It outlines strategies that institutions are taking, such as discontinuing overdraft services, maximizing opt-ins, increasing debit card usage, implementing new pricing, and reducing deposit account costs. Specific tactics discussed include segmenting customers, multi-channel opt-in campaigns, debit card activation promotions, and process optimization.
PSD2 Building Certainty : Payments Knowledge Forum 2015The ID Co.
The Payments Knowledge Forum (PKF) has been set up by payments system users to facilitate the exchange of mutually useful, practical and relevant information.
miiCard's Kevin Trapp joined the 2 day conference to discuss PSD2 developments and the role of DirectID in creating trust in online payments.
UK Open Banking / Open ID Foundation WorkshopGary Farrow
The document discusses evaluating different authentication flows for Open Banking, including redirection, embedded, and decoupled authentication. It aims to assess each flow's alignment with PSD2 regulations, understand customer experience impacts, and implications for business models. The evaluation will consider authentication journeys across web and mobile applications to provide recommendations to the Implementation Trustee.
The document discusses interchange fees, which are paid to credit card issuers for cards processed by merchants each month. It explains that interchange fees, along with association fees paid to credit card networks and discount fees paid to processors, make up the various fees deducted from merchant statements. The majority of these fees are interchange fees, which are set by credit card networks and non-negotiable for merchants. The document provides examples of interchange and association fees for Visa, MasterCard and Discover transactions.
Global Payment System- Reference ArchitectureRamadas MV
The document does not contain any text to summarize. It only contains the abbreviation "ST" which provides no context or meaningful information to summarize in 3 sentences or less.
Consumer durable loans are small loans which help a customer to buy home appliances with easy EMI options
This type of loan is used exclusively to purchase durable products like washing machines, refrigerators, TVs, VCRs, scooters, home appliances, computers etc.
The main suppliers of consumer credit are foreign & commercial banks ,finance companies
The consumer durable loan comes in use when a customer wants to upgrade their lifestyle but cannot help because of the lack of liquid fund
The loan amount is disbursed directly to the seller’s account and the repayment of the loan happens in installments
The payment period range between 12 - 60 monthly installments
The down payment ranges between 20-25% of the cost
The rate of interest is normally expressed at a flat rate; the effective rate of interest is generally not disclosed
In some schemes, the rate of interest is not disclosed, instead the EMI associated with the different repayment periods is mentioned
They also provide for either a rebate for prompt payment and charge for delayed payment
Nelito Systems Ltd. is an IT solutions and services company focused on the banking and financial sector. It has over 1200 professionals and has executed over 75 projects in 20 countries. It provides core banking solutions, lending management systems, regulatory reporting, analytics, and mobility solutions. Some of its key products include FinCraft core banking suite, data archival and retrieval solution FinDart, and enterprise regulatory reporting. It has over 400 banking clients including commercial banks, co-operative banks, NBFCs, and MFIs. It is recognized by analysts like Gartner and Forrester and has offices in India, USA, UK and other countries.
The document discusses the importance of information technology in banking and financial services. It outlines various business drivers that motivate banks to adopt new technologies like personalized web experiences, self-service capabilities, improved workforce productivity, and regulatory compliance. The document also discusses perspectives of different stakeholders in banking technology including customers, business users, IT staff, regulators, system integrators, software vendors and hardware vendors. It provides an overview of typical system selection processes undertaken by banks to replace legacy systems.
The document summarizes the retail banking system in India as presented by Varsha Golekar. It discusses how retail banking has shifted from being credit and risk focused to being more customer centric. It provides an overview of the products, services, and processes involved in retail banking. Specifically, it describes TJSB Sahakari Bank Ltd's centralized retail banking cell and its processing of retail loans. It discusses the key risks in retail banking and the general documents required for loan applications and recovery processes.
Computerized banking system is a proven, secure, modular, on-line, real-time, flexible, scalable, multi-currency. It is user friendly, easy to manage, and easy to operate information system, based on fully integrated and co-operative components.
Major bank enterprise payment hub automation framework Abhinav Das
The document discusses a case study of providing test automation for a large private sector bank in India. The bank needed an open source solution to automate testing of its complex Enterprise Payment Hub (EPH) system, which integrates multiple applications. TenXLabs delivered a standardized automated solution within 3 months using an Eclipse-based framework. This provided benefits like handling different messaging protocols and formats through a single-click solution, accurate visibility of integration points, and reduced dependency on business teams.
The document summarizes various remedies for breach of contract, including damages, mitigation of damages, rescission and restitution, specific performance, reformation, and recovery based on quasi-contract. It also discusses election of remedies, waiver of breach, and contract provisions limiting remedies. It analyzes three cases involving mitigation of damages, liquidated damages vs. penalties, and recovery based on quasi-contract.
Columbus Communications provides broadband connectivity throughout the Caribbean and Latin America via its submarine fiber optic cable network. The document discusses how (1) broadband deployment has significantly contributed to economic growth in developed nations, (2) the Caribbean region lags behind in internet usage and broadband penetration compared to North America, and (3) Columbus' network investments are poised to enable greater broadband use and connectivity in the region through its wholesale and retail broadband services divisions.
This document appears to be a series of text messages between friends planning a surprise birthday party for Colleen. They sing happy birthday, express excitement for snacks and a surprise make out session as a present, ask to give Colleen applause, and pray that she has the best birthday ever and loves the sender. The friends are coordinating last minute details to celebrate Colleen's birthday.
RavenDB is a document database built on .NET that stores data in JSON format. It provides a .NET client API for CRUD and querying operations using LINQ. Key features include dynamic and static indexing for querying, scalability through sharding and replication, and a schema-free design. The document covers an overview of NoSQL databases, RavenDB architecture and features, and development with the .NET client API. Additional topics like advanced querying, server administration, and deployment options are recommended for further learning.
The document discusses poverty, its causes, and organizations that help tackle it. It identifies two main causes of poverty: lack of government investment in industries like food production, and high national debt preventing countries from paying back loans. It then gives examples of two organizations that help the poor - Boys' Brigade Share-A-Gift which delivers goods to poor families in Singapore, and Singapore's Financial Assistance Scheme which provides government money to help people get out of poverty.
The document discusses reflective practice and e-portfolios for internships. It provides background information on Guatemala and describes how reflective practice involves critically analyzing experiences, applying knowledge to practice under professional coaching, and engaging in self-regulated learning. Reflective practice promotes personal and professional growth by closing the gap between theory and practice. E-portfolios for internships effectively integrate technology by recognizing all relevant life experiences, facilitating continuous reflection, and assessing learning outcomes.
This document describes the features of a clean room product. It has an advanced microcontroller that can lock and indicate the status of over 99 doors in cascading configurations. It prevents simultaneous opening of doors to maintain pressure and ensures only one door in a room can open at a time. There are also emergency keys, alarm stations, configurable interlocking logic, and feedback sensors.
Accountability - High Performance and High Fun in the WorkplaceNick Girling
- Implementing accountability in a careful way can increase both productivity and job satisfaction by opening opportunities. It is important to distinguish accountability from responsibility.
- Accountability means being answerable for results and accepting responsibility for actions and decisions. It involves setting goals, monitoring performance, and having difficult conversations when needed.
- Organizations with strong accountability cultures see better performance as people feel responsible and accountable. There is no room for excuses and blame. The tips suggest focusing on respect over friendship and avoiding complacency.
El documento resume la novela Don Quijote de la Mancha de Miguel de Cervantes. Narra la historia de Alonso Quijano, un hidalgo empobrecido que se obsesiona con los libros de caballería y decide emular a los caballeros errantes, tomando el nombre de Don Quijote. Sale de aventuras con su escudero Sancho Panza, donde vive situaciones cómicas al confundir la realidad con sus fantasías caballerescas. En la segunda parte, Don Quijote y Sancho continúan sus aventuras, encontrando personajes que ya conocen su
This document describes an autoclave controller that features an advanced microcontroller, single PT100 RTD input for temperature with high accuracy and linearity, a water level input with audio/visual alarm, programmable soak time, a relay output to control a pressure release valve, and manual start/stop controls. It is powered by a 12VDC to 36VDC supply and is produced by Sanyo Technology India.
Recursive Neural Network : ujava.org 12th deep learning workshop신동 강
The document discusses recursive neural networks and techniques for image classification using bag-of-features models. It covers topics like continuous word representation, parsing sentences with RNNs, SIFT features for image keypoints, generating visual vocabularies with k-means clustering, and representing images as histograms of visual words. The presentation was given by Shindong Kang of Intelligent City Ltd. on recursive neural networks and deep learning.
Regulatory and Business Issues at Play in the East and Sub-Saharan Africa RegionFrank Lenisa
The document discusses regulatory and business issues related to credit bureaus in East and Sub-Saharan Africa. It notes the low penetration of private credit bureaus in the region as well as a lack of credit account data. While some countries have improved their credit information systems in recent years, issues still include weak regulatory frameworks, economic challenges to viability, lack of reliable data, poor information technology infrastructure, and skills shortages. Potential solutions proposed include using biometric identifiers, a hub-and-spoke model, broad consultation, and training programs.
The document discusses Trisilco IT's role in providing software and solutions to financial institutions in Malaysia. It outlines some of Trisilco IT's key systems and services including its CCRIS backend and frontend systems for credit reporting, compliance solutions, risk rating platforms, and CRM systems. It also describes Bank Negara Malaysia's project to implement an Integrated Statistical System to standardize statistical reporting across financial institutions and the phased implementation approach. Finally, it provides an overview of Trisilco IT's ISS solution for automating statistical reporting with features like security, workflow, data auditing, and support for over 70 reporting templates.
The document discusses introducing ScoreMe, a digital lending and monitoring platform. It notes the need for automation in credit screening and decision making using data analytics. This would help boost turnaround times and reduce operational and fraud risks. ScoreMe offers various solutions like bank statement analysis, GST analysis, and integrated analysis to help with credit screening. It has over 200 clients in the BFSI sector and aims to help expand financing for SMEs and consumers through innovative digital models like lending-as-a-service and co-lending. The platform also focuses on financial inclusion through customized solutions for cooperative banks, MFIs and government schemes targeting marginalized groups.
1. Information technology has positively impacted the financial sector by reducing operational costs for banks and facilitating transactions between customers.
2. Several IT systems have been implemented in India's banking and financial sectors, including online banking platforms, centralized databases, and structured messaging systems to improve efficiency.
3. The stock market has also benefited from increased transparency, automation of settlements and payments, and online access which has expanded the investor base.
CIS Transformation: Unlocking the Value of Utilities' Customer Information Sy...Cognizant
The customer information system (CIS) is a vital part of the meter-to-cash value chain for electric companies and other industries that provide critical commodities like water and natural gas. Yet the complex nature of CIS initiatives has left many utilities saddled with failed or underperforming CIS systems. To overcome these roadblocks, utilities must craft an approach that mitigates the risks and challenges inherent in CIS projects, delivers an exceptional customer experience, and fuels growth to support true business transformation.
Acquiring Information Systems and ApplicationsCHAPTER .docxdaniahendric
Acquiring Information Systems and ApplicationsCHAPTER OUTLINELEARNING OBJECTIVES
13.1 Planning for and Justifying IT Applications13.1 Discuss the different cost–benefit analyses that companies
must take into account when formulating an IT strategic plan.
13.2 Strategies for Acquiring IT Applications13.2 Discuss the four business decisions that companies must make
when they acquire new applications.
13.3 Traditional Systems Development Life13.3 Enumerate the primary tasks and the importance of each of the Cyclesix processes involved in the systems development life cycle.
13.4 Alternative Methods and Tools for Systems13.4 Describe alternative development methods and the tools that Developmentaugment these methods.
Opening Case
CHAPTER 13
Peoples State Bank Transforms Its Information Technology
The Business Problem
With 15 full-service retail and commercial locations, Peoples State Bank (PSB; www.bankpeoples.com) has provided cen tral and northern Wisconsin residents and locally owned businesses with traditional retail and commercial banking products since 1914. Businesses this old often have information systems that have become outdated and no longer meet their needs. These systems, referred to as legacy systems, often hinder modern business operations. This was the case with PSB.
MISMKT
PSB’s strategic goals are to provide its customers with a superb experience and its employees with the best possible tools and re sources. Unfortunately, the bank’s legacy systems were impeding its ability to accomplish those goals.
Legacy systems in banking provided the core processing neces sary to handle simple account transactions such as deposits, with drawals, and payments. These systems were expensive to build,
because they required on-premise hardware, software, and network ing technologies. (We discuss on-premise computing in Technology Guide 3.) In general, legacy systems at banks were developed to sup port hard copy, paper-based transactions. These legacy systems be came ineffective over the years because they did not support different ways for customers to interact with the bank (e.g., online from comput ers, tablets, and smartphones).
Banks were very slow to respond to online business models be cause their business processes were built on legacy systems that were not designed to engage customers online. Specifically, PSB employed an excessive number of legacy systems, which did not effectively work together. Also, the bank’s information technology platform did not provide the capabilities required for a PSB customer to access account information through a web browser or mobile app.
To offer superb customer experiences and modern banking tools, PSB needed a new IT infrastructure that was designed to han dle web and mobile banking and near-real-time customer updates. The challenge was that the bank’s in-house IT expertise was able to maintain the legacy systems, but it lacked the capability to design
369
370CHAPTER 13 Ac ...
At Alpha, we have following business priorities that our executives are trying to solve:
1. Can Alpha be the Transformation Pioneer in modernising Digital Banking?
Disruptions in the business landscape and the impact of technology are compelling banks to shift to innovative business models, while delivering superior experience with agility. Banks are challenged majorly on two fronts. On one hand, the changing customer expectations and the entry of innovative players in the market are driving them to be highly competitive to stay relevant. On the other hand, new regulations are striving for changes that promote more competition and collaboration in the ecosystem. They have created an undeniable need for the payment architecture and banking services to be highly flexible and efficient.
The team at Alpha constantly innovates and works towards shaping the future in payments, digital channels, credit services, digital core, and commercial and corporate banking. How can the team ensure growth and market leadership in the sector?
2. How can Alpha foray into consulting industry and become amongst the top 10 consulting companies in the next 5-10 years?
The pandemic has forced several sectors to adopt new ways of working. Even the primarily client-driven consulting sector has had to adapt to new methods of service, structure, technology and operation.The upcoming years will be all about going digital. Artificial Intelligence would be used to process, handle and analyse huge amounts of data efficiently and faster.
The task for Consulting firms therefore, would be to add value to their clients by using analytical tools and offer quantifiable results, combining the domain knowledge of SMEs with technology to provide products and solutions.
The team at Alpha wants to leverage its long drawn domain expertise and serve its client to become the most sought after consulting firms in the world.
Recommendation of RBI committee for data formats for CICs.All commercial banks,Regional Rural banks,Local Area Banks,HFCs and SFCs may be compulsorily required to become members of all CICs and submit data to them.
Control of energy bills helps increase the visibility of overall usage and fees that can be used to boost cost-effectiveness and sustainability.
This task is often handled in-house manually , which makes it very labor intensive and time consuming. Collecting and standardizing data, entering in into a database, and analyzing data to find improvements becomes a process of time management.
apidays LIVE Hong Kong 2021 - Federated Learning for Banking by Isaac Wong, W...apidays
apidays LIVE Hong Kong 2021 - API Ecosystem & Data Interchange
August 25 & 26, 2021
Federated Learning for Banking
Isaac Wong, AI Solution Architect at WeBank
Eye on APAC Private Banking: Client Reporting Challenges & SolutionsCognizant
Wealth advisory firms across the Asia-Pacific region face an ever-increasing array of operational, technological and competitive challenges. To stand out from the pack, they must differentiate by strengthening their strategic client reporting capabilities and adopting a judicious mix of tactical and strategic solutions built on workflow automation, robust data governance, process standardization and efficient people management. These solutions deliver timely, accurate client reporting with minimal manual intervention.
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Similar to Credit Bureau Perspectives for Developing Markets (20)
1. Credit Bureau Perspectives
for Developing Markets
Presented at:
Peking University International Academic Conference
On Personal Credit System 2008
Presented by:
Frank Lenisa, MBA (Director)
Email: frank@compuscan.co.za
2. Agenda:
Background To Compuscan
Experiences And Considerations For A Developing Market
CB Systems/Technologies
Telecommunications
Data
Reporting
Analytics
Value Added Products
CB Staffing Needs
Awareness of CB
Legal and Regulatory
3. Introductory Statement:
The establishment of a Credit Bureau (CB) entails much more than
technical considerations
Business acumen, strategic vision and strong management are required
4. Background to Compuscan:
Due to South Africa’s history of racial oppression, it has what may be
called a dual economy
One extremity is comparable to industrialized nations and the other to
developing markets
The developed economy operates in information rich environments,
with formal procedures, higher-value added products and linkages
The developed economy was served by a international CB
5. Background to CompuScan (Cont’d):
Prior to 1992, South African consumers in the developing market wanting
to borrow small amounts of money, had to rely on the unregulated
informal credit sector
informal township based moneylenders (also knows as Mashonisas)
loan sharks
Pawnbrokers
During 1992, new rules governing the provision of credit evolved, which
saw the rapid evolution of a new credit industry, known as the micro
credit industry
Legislative changes saw the growth of this sector during 1992 to 1999
From 1999 to date, an era of commercialization continues in a regulated
environment
6. Background to CompuScan (Cont’d):
By 1994, there was still a distinct lack of a credit reporting system for the
micro credit industry in South Africa
Absence of information sharing, caused weakening performance of the
institutions and a high default rate prevailed
Lenders perceived the micro credit sector risky, because lenders could not
properly price the risk involved due the state of asymmetric information
The founders of Compuscan saw the opportunity in the market to create a
credit reporting system
Full-file (positive and negative information) was collected from the start
7. Background to CompuScan (Cont’d):
Today, CompuScan is a full service CB, servicing formal banks, credit
institutions, and retailers whilst remaining the leader in the micro credit
industry
CompuScan currently employs more than 100 staff members
Delivering more than 1 million credit reports per month
Managing more than 58.2 million accounts
With more than 20 million borrowers registered on the databases
CompuScan has 3500 subscribing lenders; including banks, public and
private companies, NGO’s and Cooperatives/Credit unions
CompuScan currently operates in South Africa, Namibia, Botswana and
Uganda
8. Background to CompuScan (Cont’d):
The CB data available consists of:
Demographic information on borrowers to ensure proper identification
and analytics
Information that is pertinent to the borrower’s creditworthiness,
(accounts history, repayment profiles, judgment information, fraud
information, collections information)
Contains indications of the overall risk relating to an applicant with regard
the repayment of newly established credit, inquiries by other lenders with
a permissible purpose and credit scores
An avenue for the verification or validation of any information that may
be questioned or disputed by the borrower is available
9. Experiences And Considerations for a Developing
Market:
Lenders in developing markets often lack formal procedures, appropriate
technology, internal structures, and methodical approaches when
compared to a developed institutions in industrialized countries
The modus operandi of a CB therefore needs to adapt to this
environment, as attempts to import CB methodologies from other
contexts may have mixed results
10. CB Systems/Technologies:
The CB system need to be robust, world-class and highly customizable /
adaptive
The CB system needs constant refinement to ensure ongoing
improvement in the collection, verification, hosting and distribution of
credit data/information
Consider managing the IT requirements of the CB system in-house; this
provides control over the entire process and enables the rapid evolution
of functionalities and features
11. CB Systems/Technologies (Cont’d):
Functionalities and features include:
Configurable business rules
Data loading engine that validates data against business rules, loads
data into staging servers, then production servers, and provides
administrators/lenders with full data loading reports
Member/Subscriber/Contract management module
User administration module to allow permissible access to features
based on their roles and authorization levels
Audit trails facilities
Custom MIS reports
Data packets (XML, CSV, others) can be delivered and received by
online (CPU-to-CPU) and dialup (internet) services.
Can be integrated into institutions lending system
12. Telecommunications:
Cost of telecommunications is high in developing countries is high and
Of limited bandwidth
ISP’s infrastructure limited
Power supply issues
CB system and technologies need to cater for these limitations:
Employ data compression technologies
Limited unnecessary real-time reporting of data
Use batch processing
Back-up power systems
13. Data:
Obtaining data presents major challenges to the CB
Lenders often do not have the required data easily available
Data in different formats, database structures, and not necessarily
available in electronic format
Identifying information, such as ID numbers, names, addresses and dates
of birth is often not available or reliable (e.g. same names, mis-spelt)
CB’s make use of sophisticated matching algorithms to correctly match
and merge separate records belonging to the same individual
14. Data (Cont’d):
These algorithms traditionally use a combination of name, address and
date of birth and other such indentifying information
The ability to use such algorithms is however significantly restricted in
emerging markets where other crucial information, such as names,
addresses and date of birth are unreliable
CB needs to make use of a unique identifier – consider Biometrics
In Uganda, Compuscan implemented a biometric Identification system as
well a financial card for all borrowers, as Uganda does not have a
national ID system
15. Reporting:
Need agreement with all institutions on data layout. Develop data
manuals and data submission guidelines
Receiving the required data timely, regularly and complete are not
without its challenges, despite putting the appropriate systems in place
Loans terms shorter in developing countries, therefore data reporting
needs a higher frequency – consider daily/weekly
Institutions and their branches in almost every region/state, therefore
data collection may be need to be online (CPU-to-CPU) or dial-up
(internet); If done manually it would be become exceedingly cumbersome
16. Reporting (Cont’d):
Reporting methods include:
Dial-up (Internet)
System needs to be effective and fast. Careful consideration in what
data is reported – consider reporting only needed data. Consider
reporting only new data e.g. reporting only payment data and update
accounts details on database with payment data received
Online (CPU-to-CPU)
Preferred method; seamless/automated, and less prone to data
capture errors, but implimentation needs a lot of support from CB
Many lending institutions lack the required development capacity to
integrate the CB reporting system. CB need to support institution
technically. CB also needs knowledge institutions lending system
17. Reporting (Cont’d):
Providers of commercially available lending systems can be target to
integrate the CB reporting system. However, its not without problems
Providers do not always perform the required integration properly
Release software upgrades sometimes results in the system not reporting
the data correctly
Providers often do not inform the institution of system changes, nor train
institutions staff on CB functionalities
Compuscan has to provide the technical support capacity in many
cases
Audits of integration prior to the release of the software, or an
upgrade
CB needs knowledge of lending system to support institution
18. Reporting (Cont’d):
A way Compuscan managed to reduce these isssues was to purchase a
lending system. System is commercially available to institutions and fully
supported by CompuScan. Available as a value add product
Manual data extracts – data extracted by institutions and submitted to
CB. Best for large volume
CB supplies a Data Quality Summary Report for lenders to sign-off before
data is loaded into production database – encourages lenders to get
involved in data quality
19. Analytics:
CB data elements of developing market versus developed markets are
very similar. However, in developing markets, the emphasis is far more
towards data being recent
A judgment 2 years ago holds little weight, were in a more developed
market it might hold weight
Since the loan terms are generally shorter, the trends on variables will
differ – a worst arrears of 3 on a short term loan has a different weight
of evidence to a worst arrears of 3 on a longer term loan
Data quality and analytic value from developing markets is not great
Status codes are often not updated
Payment information is often not supplied past the loan being granted
20. Analytics (Cont’d):
I do not think lenders have a full appreciation of the value of the data,
which is why they tend not to bother reporting correctly. The lenders
need to be educated to appreciate the potential value of the data for
them to report correctly
An ongoing challenge we face is in educating lenders to report correctly
and for them to understand the analytical value of the data they report
Consider making credit score easy to interpret
22. Technical Support and System Training:
Institutions lack hardware, software, and networking capabilities
Lack of strong, competent human capacity
Therefore, support and training of institutions is key to the business
model of the CB
Common problem is that institutions often neglected to report timely
and/or regularly through
Neglect
Not knowing how
Concern about predatory lending practices of other institutions
23. Technical Support and System Training (Cont’d):
Compuscan provides ongoing on-site support and training. Each branch
visited by CB staff every 6 weeks
Support and training on CB system
Support and training of insitiutions computer and network system
Ongoing training seminars are regularly scheduled in the different regions
24. Technical Support and System Training (Cont’d):
Call centre is operational 6 days week.
Inbound calls support:
Lenders needs on the CB system
Lenders needs computer and network system
Outbound calls are directed at lenders who do not use the CB
system correctly or report correctly
25. Technical Support and System Training (Cont’d):
Insitiutions who do not report correctly are often placed in an incubation
programme, where
Lenders are placed under “high-care” and undergoes intensive training
Lenders are monitored until such time as all requirements are met and
is able to function optimally
Support and training often more than just technical; CB staff are
mentors/coaches on just about anything about credit management,
compliance, computer and networks
26. Credit Skills Training Institute:
Compuscan establiched a credit management skills training instituite
and consultancy to improve the skills, knowlegde and ablities of the
industry
South African Qualifications Authority Accredited
Focus area:
Credit management
Business and personal development
End-users computer training
Consultancy services on credit management issues
e.g. credit policy, best practices, compliance
27. Value Added Credit Information Solutions
Compuscan’s value add products /services where developed to improve
the lenders abilities, but also to strengthen the CB.
E.g. improve the ease of reporting and thus the data quality improved.
Getting lenders to understand the analytical value of data through
credit scores and analytic work
Improving the skills, knowledge and abilities of the institutions staff
through skills training and development
Identity solutions to improve data matching
Value added offerings include:
Credit Decision Engine
Allows credit institutions to easily implement automated decisioning
into their credit granting process
28. Value Added Credit Information Solutions (Cont’d):
Credit Application Processing Software
Automates the origination process into a customer focused, multi-
channel, and cost-efficient operations
Loan Management System
The loan administration software program manages the entire loan
cycle and ranges from capturing new accounts to performing
collections on outstanding loans
Fraud & Identity Management Solutions
Solutions for a wide range of business needs from securing work
stations and sensitive credit information, to the identification of
people
29. Value Added Credit Information Solutions
(Cont’d):
Credit Scoring and Analytics
A range of techniques and processes for the interpretation of credit
data leading to valuable insights to make decisions with confidence.
Creation of customised scorecards
Credit Skills training
Outcomes based skills training that provides learners with the
knowledge, skills and abilities to effectively function within the
lending operations
30. CB Staffing Needs:
The staffing requirements of a CB are vast and required skills typically
include
Information technology; database administrator, systems & network
architect, web & applications developers, network engineers
Data management; statisticians and analysts
Legal and compliance officers
Sales and telesales personnel
Technical support staff; computer and networks
Marketing and research assistants
31. CB Staffing Needs (Cont’d):
Credit Scoring Analysts and statisticians
Finance and administration personnel
Strong management and leadership
Its is important that all staff have knowledge, skills and abilities not only
of the CB environment, but also of credit management, computer and
networks, all application legislation and regulations of the industry
sector
32. Awareness of CB:
Public in emerging markets likely to resist the concept of sharing financial
information
Authorities that are unfamiliar with financial information sharing may also
be resistant for political reasons
Fragmentation, competitive fears and secrecy often characterize such
economies
Lenders fear that other lenders may poach their good clients by learning
of positive financial information
Credit if often a scarcity
33. Awareness of CB (Cont’d):
CB needs to change these perceptions through education of the
benefits of credit and financial information sharing
Lenders need to overcame their distrust of competition
Borrowers must be assured of the security of their financial information
Therefore essential that the CB focus on building awareness among
lenders, their clients, the general public, government officials, policy
makers, regulators and other potential stakeholders in the CB
34. Awareness of CB (Cont’d):
Round tables and workshops were held with all the institutions CEO’s
and the central bank in Uganda to ensure buy-in and to work though
the entire concept of the CB
Suspicions were eased, the benefits were understood and potential
concerns and problematic issues were identified and addressed
An extensive public awareness campaign was launched in conjunction
with the central bank, and is currently under way in order to address
the awareness of the CB
Awareness initiatives are ongoing in South Africa. There are some
would like to close the CB down.
35. Legal and Regulatory:
The primary objective of legislation to enable credit information sharing
and reporting is to balance the ability of lenders to exchange credit
information, whilst at the same time protecting the individual’s rights to
privacy
Positive and Negative Information Sharing - consider mandatory sharing
of data
South Africa – lenders mandated to report, but optional on enquires –
mandated to conduct a affordability assessment; only proper way to
do this is via CB report
Uganda - lenders mandated report, but optional on enquires – lenders
have options, but non adherence means that the debt must be
provisioned as a sub-standard loan immediately
36. Legal and Regulatory (cont’d):
Explicit borrower consent is generally sufficient to allow a lender to share
the information
If borrower does not consent – no loan
Only issue is retro data
Consumer Protection - Grievance and dispute resolution mechanisms
Borrowers are CB clients too
Additional mechanism to improve data quality
Legal and regulatory bodies, two broad approaches - Strong Supervisory
Body - Industry Self Regulation
South Africa has both. Started with self-regulation. More compliance
through supervisory Body (as long as body conducts audits and forces
compliance)