Collaborative Network Leverages Equifax
Commercial Data and Credit Card Transaction Data from Leading Data
Providers to Create More Complete Financial Picture of Small
Businesses
ATLANTA, Sept. 18,
2024 /PRNewswire/ -- Equifax® (NYSE: EFX) has
launched a new Merchant Data Network, an Equifax Cloud™-based data
network to help provide greater visibility into the financial
profiles of U.S small businesses. Designed to give lenders and
service providers the increased confidence they need to extend
capital in a rapidly changing economic environment, Equifax
research shows that the Merchant Data Network can improve
traditional commercial scoring by more than eight percent by
providing valuable insights into the revenue small businesses
generate from aggregated credit card transactions at the point of
sale. The collaborative network combines the power of the Equifax
Commercial Financial Network with aggregated credit card
transaction data from Fiserv and other leading data providers to
bring new visibility to more than 5.5 million businesses from more
than 50 billion credit card transactions per year.
"Small businesses in the U.S. employ nearly half of the
country's workforce – making their financial health paramount to
the health of our economy," said Sal
Hazday, Senior Vice President and General Manager of the
Equifax U.S. Information Solutions (USIS) Commercial Business.
"Opening up new credit opportunities for small businesses is
increasingly important, but making responsible lending decisions
requires a strong understanding of true revenue and cash flow. With
the Merchant Data Network, we're partnering with organizations like
Fiserv to make the most complete financial picture of a business
available to lenders and service providers. Our shared goal is to
advance the credit opportunities that small businesses need to
thrive."
The Merchant Data Network helps lenders make faster and more
informed decisions by providing up to 60 months of aggregate credit
card transaction history, providing critical sales insights into
organizations that may have limited traditional credit information.
The aggregated credit card transaction data provided through the
network is valuable because it helps to verify merchant income and
establish a business' ability to pay. This information can be used
alongside other business data, such as firmographics, credit
history and more, to:
- Help verify a business, as well as simplify and shorten the
underwriting process;
- Increase lift in scoring merchants with no trades
or firmographic-only data;
- Identify leading indicators of business fraud
and failure; and
- Provide greater confidence in business sustainability and
assessing commercial risk.
"Access to capital, especially for small businesses, has never
been more critical than it is today," said Prasanna Dhore, Chief Data Officer and President
of Data Commerce Solutions, Fiserv. "By contributing
low-latency payment data to business credit reports, we are
helping Equifax deliver deeper insights into the financial health
of small businesses, which will enable lenders to make smarter
loan decisions and improve access to credit for businesses
with limited credit histories."
Equifax plans to expand the small business revenue insights
provided through the Merchant Data Network through additional
contributors in the future. The launch of the network expands on
the Equifax commitment to furthering access to credit for small
businesses, joining innovative Commercial solutions, including: the
Business Verification Solution and OneScore for Commercial. Learn
more about the Merchant Data Network and Equifax USIS Commercial
solutions here.
ABOUT EQUIFAX INC.
At Equifax
(NYSE: EFX), we believe knowledge drives
progress. As a global data, analytics, and technology company, we
play an essential role in the global economy by helping financial
institutions, companies, employers, and government agencies make
critical decisions with greater confidence. Our unique blend of
differentiated data, analytics, and cloud technology drives
insights to power decisions to move people forward. Headquartered
in Atlanta and supported by nearly
15,000 employees worldwide, Equifax operates or has
investments in 24 countries in North
America, Central and South
America, Europe, and the
Asia Pacific region. For more
information, visit Equifax.com.
FOR MORE INFORMATION:
Tiffany Smith for Equifax
mediainquiries@equifax.com
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SOURCE Equifax Inc.