Everybody borrows money, and each of them has a specific ability to pay it back. In the past, ability to pay has been estimated crudely and manually from past payment history on other loans. That blocks out people who don’t have a sufficient history of previous loans. FormFree is introducing new methods to measure ability to pay from other financial data.
- General FAQs
What is 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?
How does FormFree measure ability to pay?
Does RIKI™ replace other measures?
What is RIKI™?