NEWPORT BEACH, Calif. – October 19, 2017 - In a recent survey conducted by Lantern Credit, a financial technology company working to solve systematic inefficiencies in the consumer credit industry, only 18% of Americans indicated that they would consider ever doing business with a bank that turned them down for credit. As banks look to grow their business, this serves as a major challenge.
In the same survey, 70% of Americans said that they were confident that they understood their credit score and how it’s calculated. While they express confidence, they also express skepticism - just under one-third of respondents said that they felt that banks keep credit confusing so that they can charge higher rates.
These findings, combined with the fact that 43% of consumers with a credit score get turned down when they apply for credit, (according to the Consumer Financial Protection Bureau’s (CFPB) Consumer Credit Market Report) could mean trouble for the financial industry as consumers get turned down while expecting to be approved.
“While there is danger here for banks there is also opportunity,” said Chad Swensen, CEO of Lantern Credit. “The banks that truly help their customers take charge of their credit and match people with the right offers are likely to develop a happy and loyal customer base.”
This survey was conducted by an independent research firm and included 1,004 respondents across the US between September 08, 2017 and September 11, 2017.
About Lantern Credit
Lantern Credit, LLC is a financial technology company working to solve systemic inefficiencies in the consumer credit market by developing a proprietary platform that integrates and enhances key components of the consumer credit, debt, credit reporting and scoring industries. The Company’s transformative technology, powered by beamAI artificial intelligence and including the Interactive Credit Report™, empowers consumers to model the impact of their financial actions on their credit scores, make payments, and accept new credit offers. The Lantern Platform can be licensed by financial institutions, strategic partners, and credit reporting agencies. Lantern Credit is headquartered in Newport Beach, CA. For more information, visit www.lanterncredit.com.