How Facio decreased credit risk by 50% with Belvo

Camila Faria

Camila Faria Content Executive


How Facio decreased credit risk by 50% with Belvo

By connecting to customers’ data through Belvo, Facio is able to offer payroll loans for Brazilian workers and lower credit risk.

Facio is a pioneer in credit solutions that can have a particular impact in Brazil: payroll loans through automatic debit.

In a mission to improve the financial health of Brazilian workers, Facio allows workers under the Brazilian CLT regulations to receive salary advances through a low-priced fixed fee. With these advances, customers can pay debts or deal with urgent expenses without using credit cards or hiring loans with high-interest rates. 

Using Belvo’s solution to access Open Finance data has made this process even more powerful thanks to three main benefits:

  • Faster data acquisition, allowing Facio to offer more loans
  • Lower credit risk, which means fewer costs to the company
  • Better-informed loan decisions through detailed customer analysis

Easier access to customer data through Open Finance

At first, Facio needed to collect users’ payroll data manually from their employer and then analyze that information to assess their eligibility.

“We only had access to data if the company provided it. Now, employees can make the decision directly, and we can know how fast that person spends their salary, which helps us with credit input”
Saulo Tristao, Facio CEO. 

Thanks to Open Finance APIs, this process became easier: now, workers can simply log in to their bank accounts and safely share their information with Facio using Belvo. Thanks to this, Facio can immediately see when their payments are due and also understand more about their spending habits.

Less credit risk, more successful loans

Additionally, Open Finance data allows Facio to have new insights about their customers and improve their credit analysis, offering, for instance, a higher percentage of salary advancement depending on their user’s financial habits. 

Facio’s app uses Belvo’s banking data aggregation to access user accounts in a continuous way, enabling actions like:

👋 Verifying user identity

💸 Evaluating payment capacity

📅 Identifying user income and day of payment

💳 Assessing debt capacity

📈 Improving credit analysis

Results are visible and meaningful: using Belvo’s solution, Facio has decreased its credit risk by 50%.

Download the case study (in Portuguese) to learn more 👇


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