PayNet, Numerated Pair Up For Business Lending Risk Analytics

Financial technology (FinTech) company Numerated, which links financial institutions (FIs) with digital business lending and sales solutions, has announced a partnership with PayNet to integrate risk analytics into its offering.

In a press release issued on Tuesday (Jan. 29), Numerated said it will add PayNet’s MasterScore solution into its real-time lending platform for financial institutions. The PayNet tool uses the firm’s proprietary database to predict borrower risk, and will deploy Numerated’s custom rules-based and borrower segment-based credit decision-making capabilities to match lenders’ risk mitigation needs.

In a statement, Numerated CEO Dan O’Malley said that the integration with PayNet will enable the company to further digitize the business lending process for FI clients, thanks to the ability of PayNet to customize its risk analytics tool for the Numerated platform.

In another statement, PayNet President William Phelan said the integration will allow bank customers to “save time evaluating a business’ credit status, and have high-quality data to make more accurate decisions. It’s a competitive advantage and increases access to much-needed credit for qualified small businesses.”

In an interview with PYMNTS’ Karen Webster in 2017, O’Malley spoke about the challenges that banks face in accelerating and digitizing their business lending processes, while still adhering to bank credit policy.

“The industry has spent 15 years talking about online banking and Technology-as-a-Service, and yet lending has not fully embraced the fact that a borrower need not come into a branch to get funding,” he said.

PayNet’s collaboration with Numerated follows last November’s announcement that PayNet was collaborating with community bank BNB Bank, which will integrate PayNet’s small business loan underwriting technology, including its Credit History Report and the MasterScore tools.

“By digitizing commercial lending, BNB will decrease the time it takes to evaluate a business’ credit, allowing for better decisions via relevant, on-demand and secure private company credit assessments, helping qualified small businesses gain access to much-needed credit,” said Phelan at the time.