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Until there's a credit crunch or a recession, in which case all that "real-time" risk management will be moot and losses will be massive.
by radicaldreamer 5y ago
Until there's a credit crunch or a recession, in which case all that "real-time" risk management will be moot and losses will be massive.
- notsureaboutpg 5y ago
- acomms 5y agoI am curious why you think 'real-time' risk modelling in particular might be deficient? For the record I agree, but my issues are with fintech lenders desire to lend out money too freely (models that are designed to pump lending #'s, not repayment).
- kazanins 5y agoBanks have been saying that about online lenders for over decade now…and yet LendingClub, Upstart and SoFi loan books are still fine (and this three companies are taking 1/3 of all personal loan originations in the US)
- sgerenser 5y agoWe haven’t had a real recession in over 10 years, so that makes sense. Unless you count the very brief one back in mid 2020, which was mitigated by a flood of federal and state dollars, mortgage and student loan moratoriums, etc.