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How to Lend Money to Strangers

Gamifying credit scores for the unbanked, with Yatir Zaluski, Niharika Bhargava, and Jacobus Eksteen (ConfirmU)

How to Lend Money to Strangers

Brendan le Grange

Business, Careers, Fintech, Management, Lending, Credit, Banking

4.943 Ratings

🗓️ 6 January 2022

⏱️ 36 minutes

🧾️ Download transcript

Summary

I've worked in consumer credit for 20 years, but I think the first time that I heard of anybody trying to use a psychometric-based scorecard for making credit decisions was over a few beers with my friend Sam, who has a psychology degree and works in marketing. And I dismissed that because I figured these aren't my customers. In many ways, though, the fact that they weren’t my customers, as a traditional lender, was the problem.

In this episode, I look at how ConfirmU - the fintech that I have recently joined as Chief Solution Architect - is using elements of psychometrics and gamification to build credit scores for the unbanked, without the need for credit histories, smartphones, or technical literacy.

You can learn more about ConfirmU at their website, or by reaching out directly to Yatir by emailing yatir@confirmu.com or by finding him on his LinkedIn

Niharika is on LinkedIn, too, or you can click to learn more about her stand-alone psychometric business - Psych4u

Matogen Applied Insights have their homepage here, or you can once again find Jacobus on LinkedIn.

You can learn more about myself, Brendan le Grange, on my LinkedIn page 

If you have any feedback, questions, or if you would like to participate in the show, please feel free to reach out to me at brendan@howtolendmoneytostrangers.show

A full written transcript with timestamps can be found on HowtoLendMoneytoStrangers.Show

You can also find my pulpy action-adventure novels in all their formats on Amazon


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Transcript

Click on a timestamp to play from that location

0:00.0

What really drives me is a problem and a way to find a solution for it.

0:05.9

So I'm not a psychologist, but I thought that we would get an understanding of the person through

0:12.7

elements based on the big five model in psychology. And the intent would lead them to actions that really,

0:20.5

you know, was something burning inside of me. So one thing led to the other and confirm you

0:26.9

evolved from something which is good for the English language, but is not scalable for 207

0:32.6

dialects in India and pivoted to a much bigger problem, which is financial inclusion.

0:43.3

Congratulations on your new job. You've called all your friends over to celebrate your achievement

0:48.3

with a party at five o'clock on Saturday. Unfortunately, it's Friday night and you haven't done

0:53.6

any preparation. So you've got a busy day tomorrow. What time do you set the alarm?

0:58.8

Brighten early so you've got more than enough time to get it done? Or do you sleep in?

1:03.7

After all, it is a Saturday and you could always take a taxi to make up the time.

1:09.6

Okay, you're up and you're heading into town. The sunny day, so you're taking the motorbike,

1:14.6

but I need some fuel. You're stopping on route and fill it up. In the UK, it's about a pound

1:20.7

50 a liter at the moment. So let's say you put in 15 liters and hand over 25 pounds.

1:27.3

How much change should you get? Thanks for all you heading to town and spend a bit of time walking

1:34.3

around looking in the shop windows. You could do with a nice new shirt for the party, but

1:39.7

but pricey. What do you think? Maybe we could negotiate a discount.

1:44.6

The choices you make in a simulation like this can tell a trained psychologist something about

1:49.6

your makeup. You may have come across a test like this while looking for a new job

1:55.6

or during a leadership course when you were learning about how your psychological profile

2:01.2

impacts your leadership style. But because your psychology influences all your decisions,

2:07.4

that same sort of test can be useful in telling us about your financial behaviors.

...

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