Alis Job Bank

Posted on January 02, 2012 by Admin
Alis Job Bank

Alis Job Bank

"Big Banker is watching you," according to Karen Blumenthal in the November 6, 2010 Wall Street Journal article "New Ways Bankers are Spying on You." Lenders, says Blumenthal, are very nervous about making new loans, so credit bureaus and other agencies are helping banks look deeply into your financial activities. Banks can now examine your rent payments, utility payments, income and home value. They can even rate your banking and spending habits.

Deposit Behavior Scores

Fair Isaac, creator of the FICO credit score, markets bank-depositor behavior scores that are used by banks to evaluate customers, according to Blumenthal. Scores are based on customers' balances, deposits and withdrawal activity, states Debb Gordon, a senior principal consultant at Fair Issac in Blumenthal's article.

Behavior scores are used by banks as an indicator of credit risk. Moreover, behavior scores can also help banks market additional services and reward programs. "A halt in direct deposits," writes Liz Weston in the January 14, 2011 MSNMoney article "5 Ways Your Bank Spies on You," will indicate if a customer has lost his or her job. "If the customer has a high behavior score and a high FICO score -- which are good indicators that he or she will find another job soon -- the customer might be offered a payment holiday, with the missed payments being added to the end of the loan." If on the other hand a customer's behavior scores are not so high, the bank could suggest other options like a workout plan or offer other options to reduce the risk to the bank.