Digital customer profiling using financial data and open banking
The new anti-usury law, declining revenues, increasing demands, and technology that helps lenders
April 6, 2023
Table of contents
- Digital cookies and oil
- The best customer profile is created from customer data
- Open banking is the secure sharing of financial data
- Open banking in Poland - continuous development and cooperation
- An effective partnership between Digital Gateways and AIS Gateway
- Digital customer profile, accurate as never before
1. Digital cookies and oil
We often say that data is the 'oil' of modern business, highlighting that, properly harnessed, vast amounts of data are changing the face of all sectors of the economy. Until recently, much of the customer data was sourced from the wide-open internet, using advanced tracking techniques based on 'cookies', among other things. advanced tracking techniques based on 'cookies'
Today, this source of data is becoming less and less accessible due to increasingly restrictive privacy laws. Without the user's consent, the use of digital data carries the risk of a breach of the law and the associated serious consequences. And increasingly, internet users are consciously not giving such consent and are blocking all cookies on the sites they visit.
2. The best customer profile is created from customer data
This is why the data provided by the customer himself is becoming so valuable. This data, which is owned and controlled by the user himself, often contains unique information of great value to companies. Thanks to such data, it is possible to tailor and personalise offers that meet the customer's expectations and are also profitable for the retailer.
How, then, can a customer be induced to share such data and how can he or she do so conveniently and securely? What is the best way to get to know the customer, identify their needs, financial possibilities, place of residence, in a word, to "profile" them appropriately?
3. Open banking is the secure sharing of financial data
In this seemingly very difficult task, modern technologies that make use of the European Union's legal regulations come to the rescue. These protect everyone's privacy while giving us the opportunity to give our consent to the use of data when it is beneficial to us.
The best example of this is the European Payment Services Directive (PSD2). It allows the use of financial data, generally very difficult to access, protected by advanced technologies and often covered by bank secrecy.
With open banking, the customer can consent to access to such data by authorised institutions. This access is done in a secure and monitored manner, using technologies that meet the exacting standards imposed by the legislator. With open banking, the customer easily, but always in an informed and secure manner, submits his or her data so that the companies serving him or her can better access his or her needs. It is a solution that truly puts the customer's needs at the centre.
4. Open banking in Poland - continuous development and cooperation
Open banking has been operating successfully on the Polish market for several years now. Specialised providers offering this type of solution are steadily developing their services and finding further applications for their solutions.
There is also often a cooperation, where partners, bringing unique competences, create advanced systems together. The systems do not only confirm the identity of the customer, organise data concerning them, conduct advanced analysis of them, often based on artificial intelligence, but also reach into many external databases in order to control verification of the customer's profile and enrich it with further elements. Credit reference bureau databases, proprietary document databases, registers of regulated professions and other external sources of information can be used.
5. An effective partnership between Digital Gateways and AIS Gateway
This is the collaboration that Digital Gateways and AIS Gateway have set their sights on to create a market-leading solution for customer profiling, verifying a customer's financial standing, creditworthiness and economic situation, based on open banking data and other online databases.
AIS Gateway's digital scoring engine uses the data provided by the customer - as part of open banking - to assess creditworthiness, the level of risk associated with the financing and the selection of the optimal loan amount and term. With this data, lenders or subscription providers can:
- carry out a full online confirmation of the customer's identity,
- verify their creditworthiness,
- confirm payment reliability or sales habits.
As a result, borrowing money online has become a fast process, taking place within minutes and carried out in a way that protects the data used for this purpose. This is not only a significant convenience for the financier, but also a huge benefit for the customer.
6. Digital customer profile, accurate as never before
The data analysis used by the AIS Gateway engine uses, among other things, machine learning methods and, through the use of artificial intelligence, effectively provides unique information. AIS Gateways creates a behavioural customer profile from the available data, enriched with the customer's verified contact details and address, bank account number, information about the customer's identity documents and even a digital certificate of the customer's income, without having to send it back to the employer.
Without open banking, secure data transfer protocols and the latest data analysis tools, such a detailed customer profile was previously unobtainable. Nowadays, it can be created instantly, online, during business processes such as customer registration, the sale of products, insurance or loans, or the launch of various subscription services.
