A visibility gap lenders can't afford to ignore Alternative data is often associated with thin-file or credit invisible consumers. But its value extends far beyond those segments. Experian's Clarity Services database includes approximately one in five credit-active consumers, including one in four consumers with prime-and-above credit profiles. That means lenders may be missing important signals, not only for emerging borrowers, but also for applicants who appear well qualified using traditional bureau data alone. Consider two consumers with the same credit score. Based on traditional credit data, they may appear equally creditworthy. But when Clarity data is added, one consumer may demonstrate stable repayment behavior while another shows recent defaults on alternative finance products. The credit score hasn't changed, but the decisioning context has. That's where alternative data creates value: helping lenders distinguish between consumers who look similar on paper but represent very different levels of risk and opportunity. In this Ask the Expert session, Experian’s Julius Heim, Vice President of Analytics Product Build, Innovation and Scores, and Natasha Madan, Senior Director, Analytics Consulting, explain how different alternative data assets solve different business challenges and why the greatest return comes from using them together throughout the credit lifecycle. What that visibility gap is really costing lenders Better visibility matters because every lending decision carries consequences. Without alternative data, lenders may approve applicants whose repayment behavior suggests elevated risk but isn't reflected in a traditional credit file. Without cash flow insights, they may decline consumers who appear thin file on bureau data despite demonstrating strong income and responsible financial management. The result is a two-sided cost: avoidable bad debt on one side and missed growth opportunities on the other. But ROI extends beyond approvals alone. It also appears through stronger marketing strategies, improved conversion, reduced friction and more precise risk segmentation throughout the lending lifecycle. "ROI can mean many things ... marketing to the right people, achieving better approval rates, reducing risk, getting less friction and overall profitability."Julius Heim, Vice President of Analytics Product Build, Innovation and Scores Where alternative data creates ROI Improve approval strategies Use additional consumer signals to recover creditworthy applicants while avoiding unnecessary declines. Reduce portfolio risk Identify elevated repayment risk earlier through enhanced visibility beyond traditional bureau data. Improve portfolio performance Increase conversion, reduce friction and strengthen profitability across the credit lifecycle. Different data. Different jobs. Not all alternative data solves the same problem. Clarity Services can help lenders strengthen decisions early in the customer journey. It provides additional visibility during prospecting and acquisition, helping identify potential risk before an application moves through the underwriting process. Cash flow insights can provide value in a different way. When traditional credit information offers part of the picture, consumer-permissioned cash flow data can provide greater insight into income, spending patterns and financial capacity. That makes it especially valuable as a second look during underwriting. Together, these complementary data assets help lenders improve decisioning throughout the credit lifecycle. They can support acquisition, underwriting, account management and collections while building on the trusted foundation of traditional bureau data. Research also continues to demonstrate measurable lift when cash flow insights are combined with traditional credit information. "I recently did a study with a client where we actually saw a 20% lift in KS [Kolmogorov-Smirnov] above and beyond credit bureau data. Again, the bureau data itself was very predictive. But even from the cash flow data, we still got a 20% lift, which is an amazing stat." Julius Heim, Vice President of Analytics Product Build, Innovation and Scores The greatest value comes from using these data sources together for a more holistic consumer view. Start with proof, then build Adopting alternative data doesn't have to begin with a large transformation. A practical first step is a data study. By comparing current decision strategies with enhanced data, lenders can identify where additional visibility creates measurable lift within their own portfolios. This approach allows institutions to validate results before making broader operational changes. Every lender has different workflows, technology environments and business priorities. A flexible implementation strategy helps organizations incorporate new data in ways that support existing processes rather than disrupting them. Three ways to get started Run a data study Benchmark current decision strategies and quantify potential lift. Start simple Begin with targeted data attributes or proven scores before expanding to more advanced use cases. Build with confidence Scale implementation based on measured business outcomes and organizational priorities. This approach allows lenders to validate results, build confidence and expand their strategy over time. Explore alternative data with a trusted partner Every lending decision benefits from better consumer insight. Experian helps lenders combine trusted credit data with alternative data, cash flow insights and advanced analytics to strengthen decisioning, improve portfolio performance and uncover new opportunities for growth. Whether you're evaluating alternative data for the first time or expanding an existing strategy, Experian can help you identify where additional consumer insight can create measurable business value. Learn more Contact us About our experts Julius Heim Vice President of Analytics Product Build, Innovation and Scores, Experian Julius Heim works at the intersection of financial services, analytics and innovation. He focuses on leveraging data to drive smarter decision-making and support more inclusive financial ecosystems. Julius brings a practical perspective on how organizations can translate insights into real-world impact, with particular interest in emerging trends across fintech, credit, and the use of alternative data, such as cash-flow data, across the credit lifecycle. Previously, he served as Head of Analytics on the lender side and held roles in insurance analytics earlier in his career. Natasha Madan Senior Director, Analytics Consulting, Experian Natasha Madan partners with lenders to drive smarter, data-driven credit and risk decisions. She specializes in leveraging alternative data and advanced analytics to help organizations improve portfolio performance, optimize customer acquisition, and expand responsible access to credit. During her 15 years at Experian, Natasha has held leadership roles spanning data analytics, product analytics and consulting, giving her a broad perspective of how data can be leverage to solve complex business challenges. She has worked with a diverse range of lenders – including banks, credit unions, fintechs and specialty finance companies to develop analytics strategies that optimize customer acquisition, underwriting and portfolio management. Natasha is passionate about helping organizations unlock the full potential of data to improve both business outcomes and consumer financial inclusion.

Learn how HomeFree-USA and Experian partner to expand financial education, strengthen communities and help consumers achieve homeownership.

ValidMind CEO Jonas Jacobi shares insights on AI, innovation and why Experian's partnership is helping shape the future of responsible AI.

Due to new federal student loan regulations, the families of undergrad and graduate students may look to private lenders to fill the gap.

Learn how Caliber Financial uses Experian data to improve lead targeting, underwriting and AI-driven decisioning for better outcomes.

Learn what agentic commerce is, why AI agents are transforming digital commerce and how Agent Trust builds trusted AI interactions.

Consumer visibility is changing Roughly 45 million Americans, or 1 in 5 consumers, are considered credit invisible or unscoreable.[1] They’re working, paying bills and participating in the economy, yet many are not fully visible during the lending process. That creates both a visibility challenge and a growth opportunity for lenders. In this Ask the Expert session, Corliss Hill, Senior Director, Inclusion and Belonging at Experian, joins Dr. Vaneesha Dutra, Endowed Professor of Finance at Morehouse College, to discuss how evolving consumer behaviors are reshaping conversations around financial inclusion and lending decisions. For lenders, visibility matters because confident decisions depend on reliable context and insight. Broader consumer signals can help institutions better understand repayment behaviors, financial stability and consumer capacity. “The benefit of banks using alternative data is that they capture a very significant and new consumer base. That's 20% of the population, 45 million Americans.”Dr. Vaneesha Dutra, Endowed Professor of Finance A more complete understanding of today’s consumers Today’s consumers often manage obligations across a wide range of payment types and financial channels, creating additional signals through cash flow activity, recurring payments and consumer-permissioned financial data. Rent, utilities, subscriptions and mobile phone payments can all provide meaningful insight into how consumers manage their financial lives. What’s changing isn’t the need for risk assessment. It’s the amount of consumer behavior lenders can now evaluate. For example, a consumer experiencing temporary financial disruption may fall behind on certain obligations while continuing to consistently pay rent, utilities and phone bills. Those recurring payment behaviors can provide important context into financial priorities and stability. “These are consumers that pay rent on time every month, pay utilities every month on time and meet many other financial obligations in a timely manner.”Dr. Vaneesha Dutra, Endowed Professor of Finance From visibility to more-informed decisioning Broader consumer insights may help lenders move from limited visibility to more informed decisioning. The conversation shifts when lenders move from asking: “Should we take a risk on this consumer?” to: “Do we have enough information to fully understand this consumer?” That broader context can help institutions: Strengthen risk assessment. Identify financially active consumers with strong repayment behaviors. Support more informed lending strategies. Alternative data isn’t about replacing established credit approaches. It’s about helping lenders build on trusted credit foundations with additional context and insight. Responsible lending starts with better context For lenders, the path forward is practical and actionable. As lenders evaluate broader consumer behaviors, three priorities become increasingly important: Modernize data strategies Incorporate broader consumer signals alongside existing credit data to create a more holistic view of repayment behavior and financial stability. Engage consumers earlier Earlier intervention may help lenders better support consumers before financial challenges become more severe. Create pathways to financial access Smaller lending opportunities can help consumers establish stronger financial profiles and demonstrate positive repayment behaviors over time. The institutions that lead will be the ones that can combine strong risk practices with a broader understanding of consumer behavior. Whitepaper: Bridging the credit divide: income, risk and inclusion in consumer finance Building on the themes discussed in this Ask the Expert session, Dr. Dutra explores how demographic shifts, evolving borrower behaviors and broader consumer visibility are reshaping lending strategies and what they mean for lenders seeking to balance growth, risk management and financial inclusion. Download whitepaper Explore alternative data with Experian Experian can help lenders combine broader consumer insights with trusted credit data to strengthen decisioning, improve risk assessment and support more-informed lending strategies. With solutions spanning identity, cash flow and advanced analytics, lenders can gain a more complete view of consumer behavior and expand access to credit with greater confidence. Learn more Watch episode 1 About our experts Corliss Hill Senior Director, Belonging Business Partner, Experian Corliss Hill is a collaborative leader well-versed in working with executive stakeholders, crossfunctional teams, external partners and community organizations to design and deliver initiatives and programs that create sustainable impact. With over 25 years of extensive experience in multicultural marketing, communications, PR and inclusion and belonging initiatives, she is dedicated to advancing equitable access to financial. Her mission is to drive impactful marketing initiatives that foster meaningful change and address systemic barriers to inclusion and the communities they serve.Hill has been a part of the Experian family since 2021, and resides in Atlanta with her daughter who is a rising 11-year-old entrepreneur. Vaneesha Dutra, Ph.D. Endowed Professor of Finance and Associate Dean, Morehouse College Vaneesha Dutra, Ph.D., serves as Associate Dean in the Division of Business and Economics. With more than 20 years of experience spanning higher education, banking and real estate, Dr. Dutra’s work focuses on the racial and gender wealth gap, financial literacy and financial decision-making. She is an active researcher and consultant whose work has earned numerous grants and fellowships, including serving as the inaugural Tracy A. Pruitt Visiting Research Faculty Fellow at the Wharton School of Business. Dr. Dutra has also been named a Research Faculty Fellow for both the Center for Black Entrepreneurship and the PNC Bank Center for Entrepreneurship. [1] Consumer Financial Protection Bureau, Expanding access to credit.

Ian P. Moloney of the American Fintech Council discusses responsible fintech innovation and Experian’s role in expanding credit access.

Explore how the Experian Verify™ preview report helps mortgage lenders reduce unnecessary verification costs, avoid overbuying records, and make smarter VOIE decisions with greater visibility before they purchase.

For years, most electric vehicle (EV) adoption has been concentrated in California, New York, and other traditional early-adopter markets. And while those markets still lead the nation in total registrations, as of last year, some of the fastest-growing EV markets are in regions that haven’t played a significant role in the past. According to Experian Automotive’s 2025 EV Year in Review Report, EV adoptions seem to be entering a new phase that is spreading well beyond coastal strongholds. In fact, the top designated market areas (DMAs) that saw the fastest year-over-year growth for new retail individual EV registrations in the last five years were Detroit, MI (34.5%), Naples, FL (32.6%), Atlanta, GA (20.6%), Buffalo, NY (18.7%), and Charlotte, NC (17.3%). However, despite the growing demand in these market areas over the last few years, Los Angeles, CA still holds a strong lead in new retail individual EV registrations, with over 164,000 new adopters in 2025. Rounding out the top five were San Francisco, CA (85,000+), New York, NY (78,000+), Miami, FL (45,000+), and Seattle, WA (35,000+). EV adoption expanding well beyond the early-adopter markets could be a result of charging infrastructure growth, vehicle availability improvement, and consumer interest reaching new levels across the country. What does this mean for dealers? The extension of EV adoption into emerging markets signals that these vehicles are becoming a mainstream consideration for more consumers. As dealers look for ways to grow their presence in this segment, adopting marketing strategies, service operations, and inventory planning will be beneficial to meet changing buyer expectations and capitalize on the growing demand. The biggest takeaway isn’t necessarily which markets are selling the most EVs, it’s seemingly where adoption is gaining momentum. As new regions start to embrace these vehicles, it’ll be important to monitor the next phase of growth and where future opportunities may emerge. To learn more about EV insights, visit Experian Automotive’s EV Resource Center.

Learn how PREMIER Bankcard and Experian are helping expand financial access through data, technology and personalized decisioning.

Learn how to launch campaigns faster, act on fresher insights and continuously optimize performance. Read more!

Explore how Experian Verify Hub is simplifying income and employment verification as Sophia Cheung shares insights on reducing complexity, improving data access, and helping organizations make faster, more confident decisions.

Discover how Union Credit and Experian help credit unions reach younger consumers through personalized digital lending experiences.

Explore how Experian Verify™ and Mezzo’s Centro orchestration engine are helping mortgage lenders modernize income and employment verification, reduce workflow complexity, and make faster, more confident lending decisions at scale.