Cash flow underwriting is reshaping consumer lending by offering real-time insights into debt and payment behavior, making it especially useful for gig workers and thin-file borrowers. A 2024 survey found that 88% of U.S. consumer lenders are more confident using alternative credit data, while 60% are less confident relying solely on traditional metrics. Regulatory momentum, notably the CFPB’s Section 1033 mandate for data access via APIs, is accelerating adoption. However, financial institutions still face challenges around data access, integration, privacy, and security despite ongoing standardization efforts like FDX.

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