Equifax acquires AccountScore to boost open banking capabilities
Equifax has acquired transaction analytics firm AccountScore as it aims to boost its ability to offer open banking solutions.
The credit scoring giant wants to enhance its consumer and commercial product offerings. It plans to combine its traditional credit bureau information with bank transaction data.
Equifax predicts this combination can help customers benefit from higher rates of automated digital income verification.
AccountScore and Equifax previously signed a partnership and cooperation agreement, and have worked together since 2019.
Patricio Remon, Equifax’s European president, says the deal is “a natural next step” for the firm.
“AccountScore is a pioneering company with a proven track record of building innovative Open Banking platforms and this signals our commitment to continuously evolve.”
Using open banking data, Equifax hopes its customers can demonstrate their creditworthiness using information that isn’t currently taken into consideration.
Neither firm has disclosed the financial details of the merger.
Emma Steeley, CEO at AccountScore, says the two firms have “an established and successful partnership.”
She adds: “Open banking is going from strength to strength, with the adoption in both the consumer and small and medium-sized enterprises (SME) markets growing rapidly each month.
“We have seen lenders power improved credit decisions and account management processes using open banking to ultimately better service their customers.”
At the end of 2020 the Open Banking Implementation Entity (OBIE) reported the number of regular users of open banking technology had reached more than two million.
In July the same year, South Korea announced 20 million people using its open banking services.