AFS Credit Risk Management

Risk Management and Underwriting for AFS Credit Products:

Small value short-term credit is an important and profitable component of the AFS product suite.  The key to a successful small value credit program is implementing effective risk management practices and guidelines including loan origination, processing, underwriting, and servicing and collections.

NMP Risk management and underwriting program components include:

  • Identification requirements for non-banking transactions, deposits and loans
  • Alternative credit underwriting and scoring
  • Gathering and assessing reliability of information
  • Income profiles and verification, and residence history
  • Verification of loan purpose, terms and amount

Unbanked and underbanked consumers typically get categorized as “sub-prime” because they either have no credit score or a thin file. These consumers and small business need loan products designed to help them establish a prime based relationship, such as small value loans, secured credit cards, and “credit builder” loans. Our risk management solution supports these products with alternative underwriting and scoring models, and loan origination, processing, servicing and collections practices and procedures.