Castlight rolls out tech after deal with Equifax

GLASGOW business Castlight Financial is beginning to roll its technology out to clients in the financial services sector after signing a deal with credit reporting agency Equifax.

The financial technology company, which was set up by chief executive Phil Grady two years ago, has created software that combines bank account data with credit ratings to give a more rounded view of consumers’ suitability for a loan.

Having partnered with Equifax, which is providing the credit history data, Castlight has sold its technology to mortgage distribution business Paradigm Mortgage Services.

It is expecting to go live with three lenders towards the end of this month, when it will also begin a pilot project with a high street bank.

Mr Grady said that as the technology will allow Paradigm’s mortgage brokers to view consumers’ credit histories – something they have not been able to do until now - and combine it with a summary of their spending habits it will cut the time it takes them to complete a mortgage application.

This will be possible, he added, because the system will generate an “affordability passport” that details borrowers’ financial position.

“All the information is there so why not aggregate it all in one place and provide it to a group of lenders so the client can be offered the best terms possible at that particular time?” he said.

“When we took this to Paradigm last year they said it will revolutionise the way brokers do mortgages.”

Paradigm chief executive Bob Hunt said the system will aid clients “in understanding their true financial status and their attractiveness as borrowers”.