FormFree provides several indicators of ability to pay. The classic ones are verification of income, assets, employment, and rent and utility payment history. Besides those, FormFree also calculates residual income and RIKI by analyzing the borrower’s income and outgo, transaction by transaction, from bank and credit card statements obtained directly from the source institution.
- General FAQs
How does FormFree measure ability to pay?
What aspects of RIKI™ will change with further research?
What values does RIKI™ impose on borrowers’ behavior?
Does FormFree’s analysis make behavioral or demographic models of borrowers?
Does FormFree’s analysis use machine learning?
Does FormFree’s analysis use artificial intelligence?
Where does FormFree get the data to compute residual income and RIKI™?
Why aren’t residual income and RIKI™ reported for all borrowers?
Is RIKI™ affected by FICO score, location, home ownership, rent history (etc.)?
Why does FormFree’s software classify transactions?
What information goes into residual income and RIKI™ calculation?
What is discretionary spending?
What is adjusted residual income?
What is residual income?
What is ability to pay?
Does RIKI™ replace other measures?
What is RIKI™?