Estimated Race/GenderWe employ the Bayesian Improved Surname Geocoding (BISG) method to estimate race probability. We use a first name database to assign gender.
Expected Rate ModelingBy analyzing your loan data we estimate the expected interest rate for each loan, controlling for origination time period and credit quality. We can then compare these results to actual rates charged to determine if potential discrimination exists.
Expected Approval Rate Modeling*For loan applications we calculate an expected approval rate for each applicant and then compare these results to actual approvals or denials.
SteeringOur steering ratios determine if there is comparative evidence of steering, or abnormal concentrations of disadvantageous products by prohibited basis groups.
Denial Ratio AnalysisFor loan applications, our software analyzes your denial (or approval) ratios, as well as time to decision metrics for potential discrimination.
Potential DiscriminationWe employ several statistical tests to analyze whether potential disparate treatment/discrimination exists in the form of pricing discrimination, steering, or approvals, and, where possible, highlight these situations with clear red, yellow, and green indicators.
- *Contact Visible Equity for current availability
Will Student Loans be the Source of the Next Economic Crisis?
Much has been written in the popular press and within academic circles regarding the astonishing rise in Student loans over the past decade. Aggregate student loan balances stood at $639 Billion at the beginning of 2009. Over the past decade that number has more than doubled, standing at $1.442...
Understanding Calculation Settings—Original Credit Score Days Within
Visible Equity’s setting for Original Credit Score Days Within (which I’ll refer to more simply as “Days Within”) is not typically changed from the default setting. That may be because even the default setting can be a bit challenging to understand. This article will use an example to try and bre...
Understanding Calculation Settings—Primary Borrower and Credit Score Methods
Identifying the primary borrower on any loan can be a tricky task—but it doesn’t have to be. This blog post will provide examples to guide you to an understanding on how this is done exactly in the Visible Equity system.