Equifax on diversity, BNPL and the Credit Summit 

Credit Strategy (CS) spoke with Jayadeep Nair (JN), chief product and marketing officer at Equifax -  the Credit Summit’s headline partner for both 2022 and 2023. 

CS: Equifax is working hard to improve internal diversity to better reflect and serve its consumers. At the Credit Summit, we will be debating ways we can address the lack of diversity in credit. Is this also something you are looking into?

JN: “Throughout the pandemic and remote working periods, we’ve continued supporting our diversity and inclusion plans with a targeted series of activities open to all colleagues and focussed around the key themes of inclusivity by design. This includes supporting parental ambassadors, disability in the workplace, our women’s network and LGBTQ+ community. 

“We’re committed to being a diverse and inclusive employer. Diverse teams make better decisions, problem solve and innovate - and we should celebrate the diversity of thought, viewpoints and ideas that help us overcome challenges and embrace the possibilities. 

“As part of our diversity and inclusion plan, we were the first UK CRA to sign the Women in Finance Charter. We’ve much more planned throughout our business and I’m looking forward to hearing the debate on this at the Credit Summit, learning more about what other organisations do and seeing any tangible outcomes we can share.”

CS: Equifax recently added buy now, pay later (BNPL) data to its users’ credit reports. At the summit we’ll be discussing whether regulation limits innovation. Do you think this could be the case with BNPL?

JN: “The UK has always had one of the most innovative consumer credit markets. BNPL is another great example of that in many ways. 

“Consumers tell us they love how convenient and smooth it is to use. But we agree with the government that consumers who use it should have better protection. 

“Nobody benefits when debts are hidden, so all BNPL debts need to be on all credit files. All BNPL affordability checks and debt collection needs to be up to FCA standards. 

“If done right, BNPL should be a spark, not a brake, for innovation. For example, at Equifax we’re being creative in how we will record BNPL in files and build new scores that include BNPL data for all creditors. 

“We’re excited to work with BNPL providers to find new ways to meet FCA standards and still give consumers the great experience they want.”   

CS: We will also look at how the financial services sector can promote financial inclusion and enhanced credit profiles. What do you expect to come out of this session?

JN: “The UK already has one of the best credit data systems in the world but I agree we can do even better for many groups of consumers who find it harder to get affordable credit today. So I’m most excited to hear how different companies are innovating to meet that challenge. 

“As an industry, we’ve made huge progress in representing a more complete view of a consumer’s credit commitments in order that consumers can access better credit products due to the fact they pay their household bills on time, for instance. In addition, we’re seeing more and more lenders are ready to incorporate open banking data into lending journeys to help increase the credit options available to consumers. 

“The next step is to make sure all BNPL credit is on all files. We also want consumers and businesses to be able to use data the government holds so they can find better credit. If you pay your taxes on time or get extra income from the government, why can’t you share that with lenders to get credit?

“It is not just about having more data though, it’s about using the appropriate data optimally. Artificial intelligence or machine learning has a role to play here enabling organisations to increase the depth and breadth of data behind industry models and in turn drive benefits for those people struggling to access or manage credit.”

CS: Equifax has committed to supporting the Credit Summit both in 2022 and 2023. What was the driver behind this commitment?

JN: “The Credit Summit is the pinnacle event for our industry, we’re extremely proud to have been headline sponsor last year and to continue with the sponsorship again this year. It’s a fantastic opportunity to connect across the industry, learn from each other, drive important conversations and showcase just how innovative we are. 

“After the two years we’ve just experienced, supporting clients and their customers with financial decisions has never been more important. We’re proud to work with a huge number and variety of organisations to help connect the dots. 

“Giving businesses the insight they need to build a complete picture of their customers to help them lend to the right people, with the right products, at the right time.”

CS: Why is it important to promote and attend such events that share cross-learnings between sectors?

JN: “This year’s Credit Summit has seven different streams and this provides a fantastic opportunity for cross-pollination of ideas across a huge number of sectors. To progress and innovate, we need to look outside our businesses and our own sectors. 

“Understanding the opportunities and challenges others are facing, particularly during such a rapidly changing time for customer preference, choice and digitisation, enables us to look at our products and services with a different lens. We can then use these insights to build better products and improve the service we provide to our customers.”

If you’re interested in speaking, sponsoring or attending the Credit Summit on March 23, please reach out to a member of our Customer Value team at sales@shardfinancialmedia.com.