PETALING JAYA: Finology Sdn Bhd, a Malaysian fintech company formerly known as Loanstreet Sdn Bhd, is close to launching a credit scoring pilot solution for one of Tropicana Corp Bhd ’s upcoming property development project, said sources.
The company currently counts property developers such as Paramount Bhd, Hua Yang Bhd and LJBB Sdn Bhd as its clients.
Finology is a six-year-old company which offers two main services – Loan Score Report and Dsuite – a complete digital solution that provides transparency over the entire screening and loan approval cycle of customers.
One of the investors in Finology is Jared Ang Tzer Shen, a former private equity investor who worked in Brahmal Vasudevan’s private equity firm Creador Sdn Bhd.
Ang is also a director in one of Tropicana’s subsidiaries.
He is believed to have bought a 10% stake in Finology last year, and would look to increase his shareholding should certain targets be met.
In Malaysia, credit scoring is becoming increasingly important for buyers wanting to apply for mortgage, cars and credit card loans.
At the moment, the biggest impediment faced by most property buyers is to get a loan on the amount required to complete their purchases.
There are four major credit agencies – Central Credit Reference Information System (CCRIS), CTOS Data Systems Sdn Bhd (CTOS), RAM Credit Information Sdn Bhd (RAMCI) and Credit Bureau Malaysia.
Each agency has its own method of deriving a person’s credit score.
When contacted, Finology founder Jared Lim confirmed that it is working with Tropicana to develop automated processes to prepare for a roll out of the latter’s projects.
Finology’s Loan Score Report is a standalone product, capable of providing a review of an individual’s loan potential.
This technology has been developed and refined over three years and now has various patents across the Asian-Pacific.
With Loan Scoring by Loanplus, purchasers can know their borrowing power from up to 15 banks within 30 minutes.
“We put a comprehensive Loan Score Report in their hands within 30 minutes, which shows the banks from which they are eligible for a mortgage, the maximum amount allowable according to each bank, as well as the probability of a successful loan completion.
“Every single aspect is thoroughly considered in this report, from their CCRIS and CTOS to their individual or combined Debt Servicing Ratio for each bank, as well as legal standing and even existing loans outside the banking system, among others,” said Lim.
Meanwhile, DSuite is a complete digital solution that provides transparency over the entire screening and loan approval cycle of customers.
Property developers and real estate agents will be able to assign any banker from a single dashboard to a potential customer.