FinRegLab is launching an initiative with support from the U.S. Department of Commerce Minority Business Development Agency (MBDA) to improve credit access for minority-owned companies and other underserved small businesses through the use of non-traditional data sources and mission-based lenders.

A new research paper underscores the importance of evaluating whether the most vulnerable and distressed borrowers need longer term repayment plans soon after they first enroll in natural disaster or other emergency relief programs with credit card lenders.

FinRegLab research highlights the benefits of combining short-term payment relief with longer term assistance plans for the most vulnerable of consumers struggling with credit card debt.

FinRegLab research finds that tools for managing explainability and fairness in machine learning underwriting models hold promise and that regulatory guidance could encourage more consistent, responsible use.

FinRegLab is investigating the financial inclusion and consumer protection implications of using new data sources for credit underwriting of micro and small enterprises (MSEs) in Kenya with a particular focus on women-owned small businesses.

FinRegLab has issued two papers that examine lenders’ ability to build, understand, and manage machine learning models to ensure that they can be trusted to underwrite applications for credit by millions of consumers and small businesses.

FinRegLab today issued a research brief entitled “The Countdown Clock for Student Loan Forbearances” that highlights the need for quick action by consumers, federal agencies, servicers, and counselors to prepare for the August 2023 end of pandemic-era forbearances on federal student loans.

The National Institute for Standards and Technology has released the first version of a voluntary framework to help incorporate trustworthiness considerations into the design, development, use, and evaluation of AI products, systems, and services. The framework and various supplemental materials were developed after more than 18 months of public engagement. Comments are due February 27, 2023.

These data flows are critical to a growing range of consumer financial products and services. Modernizing the regulatory frameworks governing these flows is important both to mitigate current risks and frictions and to encourage future applications that produce greater inclusion, competition, and customer-friendly innovation, particularly for historically underserved consumers.

A new study finds that more consumers obtained short-term payment relief on their credit cards during the first 18 months of the pandemic than on any other type of loan except student debt, where forbearances were mandated by federal law. The study also finds evidence that pandemic relief initiatives may have reduced damage to the credit reports of consumers who sought long-term assistance through credit counseling and debt management programs.