SPENDiD Score
This calculation is driven by the User's demographic profile, income level, Monthly Savings Goal, and any fixed expense inputs such as Mortgage/Rent, Vehicle Payments, and other Monthly Debt Service. Given this information SPENDiD instantly calculates the User's relative ability vs their Peers to meet these specifically input obligations, plus all other expected expenses based on their demographic profile, and also meet their Monthly Savings Goal on a cash-flow basis for an average month. A SPENDiD Score of zero is considered "Average". The further the SPENDiD Score is below (or above) zero is an indicator of the relative difficulty (or ease) that the User is likely to experience in their effort to meet their Monthly Savings Goal. The SPENDiD Score is also returned on an easy to understand A-F grade scale.
BREAKEVEN Score
This score is calculated identically to the SPENDiD with the exception of the Monthly Savings Goal Score which is defaulted to zero.
LENDING Score
The user's BREAKEVEN Score can then be "contextualized" or weighted based on the relative absolute $ amount of the Discretionary funds excess or shortfall for that particular customer/account holder. For example, a +13.5 BREAKEVEN Score for an account holder earning $38,000 isn't of the same marketing value to the Bank as someone with a +13.5 BREAKEVEN Score earning $150,000. The resulting weighted LENDING Score would reflect this adjusted relative value (or risk) of each account, making marketing and risk prioritization simpler and more efficiently focused for the financial institution. FIs can gain needed confidence to approve more loans to "thin credit file" applicants, while helping such customers escape the harmful effects of payday loans and endless credit card debt.
This calculation is driven by the User's demographic profile, income level, Monthly Savings Goal, and any fixed expense inputs such as Mortgage/Rent, Vehicle Payments, and other Monthly Debt Service. Given this information SPENDiD instantly calculates the User's relative ability vs their Peers to meet these specifically input obligations, plus all other expected expenses based on their demographic profile, and also meet their Monthly Savings Goal on a cash-flow basis for an average month. A SPENDiD Score of zero is considered "Average". The further the SPENDiD Score is below (or above) zero is an indicator of the relative difficulty (or ease) that the User is likely to experience in their effort to meet their Monthly Savings Goal. The SPENDiD Score is also returned on an easy to understand A-F grade scale.
BREAKEVEN Score
This score is calculated identically to the SPENDiD with the exception of the Monthly Savings Goal Score which is defaulted to zero.
LENDING Score
The user's BREAKEVEN Score can then be "contextualized" or weighted based on the relative absolute $ amount of the Discretionary funds excess or shortfall for that particular customer/account holder. For example, a +13.5 BREAKEVEN Score for an account holder earning $38,000 isn't of the same marketing value to the Bank as someone with a +13.5 BREAKEVEN Score earning $150,000. The resulting weighted LENDING Score would reflect this adjusted relative value (or risk) of each account, making marketing and risk prioritization simpler and more efficiently focused for the financial institution. FIs can gain needed confidence to approve more loans to "thin credit file" applicants, while helping such customers escape the harmful effects of payday loans and endless credit card debt.
