MasterCard has expanded the range of credit lines and loans available to small businesses by integrating advanced analytics into its open banking platform, which is provided by its US-based subsidiary Finicity.
Lenders’ risk profiles are intended to be managed by the additional advanced analytics. Along with ongoing oversight and increasing credit card limits, it also aims to include inclusive credit models for small business loans. Only the US currently offers the open banking service.
According to MasterCard, the decision was made as rising costs and uncertain market conditions continue to pose problems for small businesses. Small businesses are increasingly looking for more options in how they borrow money, make payments, and handle their finances, according to Jess Turner, executive vice president for global open banking and AP at MasterCard.
Read More: Mastercard Turns to Open Banking to Support Struggling Businesses
