Fairer credit rating via social network testimonials

Happy Mango disrupts conventional credit rating systems by analyzing users' income, education, and social network testimonials.

We’ve seen several startups democratize the age-old credit rating system by looking to alternative information, such as phone bill history and user-submitted data. Happy Mango is joining the movement by providing transparent, non-FICO credit scores that benefit users and lenders.

Happy Mango analyzes personal data such as education, bank statements and employment history to score a user’s trustworthiness out of 100 — ten percent of that score comes from a ‘Trust Bank’ of testimonials from the user’s social network. The startup also provides feedback infographics, showing users how their credit suitability was calculated and ways to improve their financial situation. They then pass on this data only to companies that are likely to offer low-interest credit and loans. Happy Mango’s software automates the assessment process for lenders, saving time and paperwork. The startup is targeting neighborhood and community banks to recommend them as free services for applicants.

By using a more ‘humanized’ approach to finance, Happy Mango aims to provide credit to those who would fail by conventional standards, while offering lenders more accurate data for underwriting loans. How else can traditional finance systems be made more transparent?