Mercado Crédito provides financing to those citizens who are excluded from the traditional banking system. In their alternative scoring model, the past credit received through their platform and the MercadoLibre purchases are the most valuable information, but it also includes data from the Bureau, navigation, collections, among others. However, if they do not know the client because they do not use traditional financial services or are new to Mercado Libre, they offer lower credit amounts at a higher interest rate. As they gather more data and their repayment capacity measure improves, the system identifies them as a lower risk and in turn lowers the interest rate and increases the credit limit. With this logic, as of June 2020, Mercado Crédito granted 3.2 million credits to 450,000 users in Argentina for $11,000 million pesos. At least 80% do not have access to financing (they know this because they crosscheck data with Nosis). Not to mention, the small and medium companies, the federalization of their services and the credit amount that they ask for again. How should alternative risk analysis be adjusted in the face of this immense population that now “does bring data’’ on financial use and consumption? Undoubtedly, the door to financial inclusion is wider, not only because of effective access to the financial system but also, because the new data generated helps other lenders assess their risk.
2020 will leave a new floor in terms of access to the financial system, a source of formal registration that alternative scoring companies will not be able to ignore. Without a doubt, the best
practices will come from the synergy that the alternative data generates with this new registry.
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