Contributing to PRBC Means Improved Customer Retention and Increased Revenue

Would it surprise you to learn that a $40 billion market, including mortgages, car loans and credit cards, remains largely untapped simply because the three major credit bureaus don’t collect enough information? According to sources such as American Banker and GE Money, though more than 115 million Americans have a regular income and pay their rent, utilities and other recurring bills on time, their credit history is considered “thin” or “no file” by the three major credit bureaus. By reporting recurring payments -- that the big three ignore -- to an alternative data provider, such as PRBC Credit Reporting Agency, your business can attract new customers, retain existing customers and positively impact customer behavior.

Why become a data furnisher contributing To PRBC?

• More payments lead to both greater cash flow and less loss to delinquencies and charge-offs.
  
  Businesses that contribute their customers’ payment history data to a credit bureau report benefits such as increased cash flow. In a survey of 1,000 heads-of-household, half reported that they’d be “much more likely” to pay their bills on time if these payments were reported to credit bureaus.
  
  
• Customer retention goes up and churn goes down.
  
  Use of the PRBC Report with FICO Expansion Score doesn’t just help your business by opening up a market of underserved, low-risk customers. These detailed scores also help customers to receive loans and other credit products from reputable -- instead of high-cost -- lenders. Access to higher-quality credit sources increases customer loyalty and retention. When customers learn that reporting positive information, such as timely payments or outstanding rental histories, to PRBC results in increased credit access, a stronger credit history and lower costs for credit and insurance, they realize the benefits of reporting alternative data. In turn, this leads to customer loyalty.
  
  
• Traditional credit bureaus have requirements for reporting that many businesses are unable to meet.
  
  PRBC tracks payments to non-debt sources, such as cell phone providers, utilities, rent and other data that credit bureaus usually overlook. Also, each credit bureau has different requirements for the minimum number of accounts for reporting. Whether your business has 5 accounts or thousands of accounts, you can report to PRBC.

In the wake of the economic downturn, the use of non-traditional credit data is more important than ever. Alternative data helps borrowers to build their credit while providing businesses with new customers. According to American Banker, of the top 20 consumer lenders, 15 are currently utilizing alternative data as a way to expand their pools of potential borrowers without increasing their business’s credit risk.

However, underserved consumers still represent a large -- but mostly untapped -- market. By reporting to PRBC as a data furnisher, your business can reach deep into the underserved market to attract new customers and help retain existing customers by developing loyalty through use of tools such as the FICO Expansion Score. PRBC helps businesses to bridge the divide between low-risk customers who need reputable, quality credit and the lenders that benefit from working with them.