Tag Archives: Inclusión financiera

Leaky data: How Wonga makes lending decisions

[Como parte de nuestra colaboración inter-redes publicamos este post conjuntamente con Charisma-Network. Joe Deville investiga el controversial uso que hace la empresa prestamista Wonga de las huellas que dejamos involuntariamente en internet para evaluar a sus potenciales clientes. Como siempre, comentarios – en español o inglés – son muy bienvenidos]

Wonga.com is not only the most high profile and controversial payday lender in the UK, it is also the most technologically advanced. By automatically sorting through 8,000 different data points, it claims to be particularly good at sorting borrowers who will repay from those who will not, based on its distinctive method of credit assessment. But, apart from Wonga insiders, no-one quite knows how this is done. I’m going to look at what you can learn from what is publically available – once you know how to look – and what the implications might be, as these practices spread.  Continue reading

Morality and popular finance: moral capital as a kind of guarantee

Ariel Wilkis nos hizo llegar su presentación en el último ISA-Buenos Aires. Acá va. Por cierto, Ariel no tiene problemas con responder comentarios y preguntas en castellano.

In my current work I discuss the expansion of financial agencies specializing in providing personal credits for consumption. I’m interested in this process because it has meant one of the mechanisms of incorporation of the popular classes into the financial system. A recent survey on financial practices in Greater Buenos Aires showed that about 20% of the informal workers, the welfare beneficiaries and the people living in slums-, obtained a credit through these agencies in the past year. (Wilkis, 2012). The first interpretation of this process can follow a sequential argument (as Geertz or Bourdieu et al. would do): the expansion of the credit market replaces the informal credit systems of the popular classes. With regard to this interpretation I would like to stand two points out. On the one hand, the above survey shows the simultaneity and heterogeneity of financial practices (both formal financial practices -for example, the use of credits cards, and informal financial practices -for example, buying on “fiado”). On the other hand, and this is the central theme I’m interested in presenting in this brief communication, we note that the making up of a certain personal credit supply is organized on the basis of a kind of guarantee which is usually central in informal credit systems: the moral capital. The credit agencies in question organize the supply, the interaction and the credit assessment on the recognition of ethical virtues of those who demand the money. Continue reading

Call for Proposals for Research 2012-2013 – IMTFI

Call for Proposals for Research 2012-2013

The Institute for Money, Technology and Financial Inclusion at the University of California, Irvine is soliciting proposals for original scholarly research on mobile money services and platforms, the harnessing of new and existing social and technological infrastructures to promote savings and other forms of value storage and the facilitation of payments at scale for poor people in the developing world. Continue reading