- The essence of the analysis is to measure monthly cash flow and adjust it for a modest reduction in discretionary spending. Cash flow data is obtained from the bank and credit card accounts that the borrower has given FormFree consent to analyze. It is to the borrower’s benefit to give this consent for all accounts that are in use, since payments to and from unlisted accounts are detected.
All regular income and expenses are included in the computation whether or not the source or destination can be identified. Thus, RIKI™ is fair to people whose income is from self-employment or multiple “gigs,” not just traditional full-time jobs.
An important aspect of FormFree’s analysis is rejection of atypical transactions or atypical periods of time, so that occasional windfalls, money transfers, or large purchases do not affect the estimate of ordinary, regular ability to pay.