November 28, 2010
GDS Link automates aggregation of credit data
ScoreSharp, a South African credit scoring consultancy, is helping its customers create automated scorecards with the help of technology from Dallas, Texas-based GDS Link.
GDS Link’s flagship product, DataView360, creates customized credit scorecards based on information collected from a variety of data providers. These sources range from credit rating agencies to government data sources, public records and in-house information.
“In-house data could be information collected up-front from a client company, for example the number of employees, number of years in operation, or it could be payment history,” Paul Greenwood, president of GDS Link, tells Canadian Treasurer. “Data provided by governments could be regional demographic data, unemployment rates and median house prices or median income. When supplying credit to a builder, for example, unemployment and house price data is relevant.”
Although ScoreSharp is connecting up to South African data sources, DataView360 can be used with any available data source, Greenwood says. “Of course our clients could collect this information manually, but they would have to enter the information manually into scorecards,” he says. “They could make keying-in mistakes and it would take them much longer than if they automated the process with DataView360.”
Another important benefit of using DataView360 is the facility for setting up rules and procedures for credit scoring. “Automating credit scoring means that human emotion and error is taken out of the scoring and no anti-discrimination laws are broken,” Greenwood says.
DataView360 can be used for both consumer and business credit scoring. Currently around 40 percent of credit scorecards generated by DataView360 are for businesses and the remainder for individuals.
DataView360 is offered both on a SaaS (software as service) model and as a licensed product for use in-house. In the case of a licensing contract, clients receive as much support in implementing and using the product as they require. “We can come in to set up and train users, or we can allow an in-house IT team to do everything themselves,” Greenwood says.
TDS has three US clients who use its product for doing business in Canada, according to Greenwood.