LSC25 | The New Era of Cashflow Underwriting | Credit Sense
💡 Cash Flow Underwriting That Actually Works:
How Credit Sense Is Automating Smarter Lending Decisions
Shahaf Lavi | Founder & CEO | Credit Sense
Presented at Innovation Hall 2025 - Tue, Mar 11, 2025, 10:30 AM - 11:00 AM
TL;DR: Credit Sense uses real-time bank statement analysis to automate loan decisions for subprime lenders. Their cash flow underwriting platform helps reduce default rates, eliminate manual review, and improve overall efficiency.
Why Cash Flow Underwriting Matters More Than Ever
Traditional credit data doesn’t always tell the full story—especially in the subprime space. Manual underwriting is slow, inconsistent, and expensive. At Credit Sense, we’ve spent six years building a platform that solves these problems with machine learning, real-time bank data, and full automation.
🚫 Problems Subprime Lenders Face Today
❌ First payment default rates often exceed 20–25%
❌ Manual underwriting slows down approvals
❌ Decisions vary wildly between reps
❌ Over-reliance on bureau data leads to weak predictions
✅ Enter Credit Sense: Automated Cash Flow Underwriting
Our platform analyzes 90–365 days of bank transaction data to deliver fast, consistent, and accurate loan decisions. Here’s what sets it apart:
🔍 Inside the Platform: Core Modules That Power Automation
1. 🧾 Account Examination Module
Validates routing & account numbers
Confirms borrower ownership & account type
Prevents misdirected disbursements
“No more sending money to the wrong account. The system flags mismatches instantly.”
2. 💰 Income Classification Module
Identifies all income sources (payroll, benefits, gig work, etc.)
Detects income frequency and consistency
Aligns repayment schedules to pay cycles
“Get machine-learned scores for income stability to ensure the borrower can actually pay you back.”
3. 📉 Loan Counting Module
Detects existing loans, collections, and payoffs
Estimates debt-to-income ratios
Highlights high-risk financial profiles
4. 🚨 Red Flag Detection System
Flags chargebacks, NSF activity, reversals, job loss, etc.
Warns reps about borrower instability
5. 🤖 Decision Engine
Combines all modules into a single risk score
Uses a proprietary First Payment Default Score
Calculates Ability-to-Repay (ATR) with loan recommendations
Supports rule-based approval/deny/review workflows
“This borrower was approved for an $1,100 loan in seconds—with zero human involvement.”
👀 Transparency: Live Analysis Mode
Unlike bureau scores, our scoring engine isn’t a black box. Loan reps can see why the system made a decision in real-time, helping with:
Training new team members
Compliance reviews
Gaining internal trust
🧠 Custom Models That Learn From Your Data
While we offer high-performing legacy models, most clients get the best results using their own performance data.
Train the model with your historic performance
Customize risk thresholds to fit your portfolio
Continuously optimize using our MLOps environment
Run A/B tests using Champion/Challenger strategies
📈 Case Study: Real Client Results
✅ 10%+ reduction in defaults for new borrowers
⏱️ Cut processing time in half
💵 25% reduction in bureau data costs
📞 Doubled call center capacity without hiring
🧠 Automated 50% of lead traffic
🔌 Flexible Integration Options
Whether you want full automation or just a better data layer, we’ve got you covered:
💵 Pricing Model
SaaS-based pay-per-query (starting at $0.75 per query)
Volume discounts available
Custom packages available upon request
🎯 Final Takeaway
We spent years perfecting this platform before bringing it to market—and it shows. If you’re looking to automate, scale, and make smarter lending decisions, Credit Sense is ready to help.
👉 Ready for a demo or custom quote?
Reach out to our team or contact our VP of Sales.
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