Belvo

Product update: empowering Categorization with machine learning

Clem Le Theo

Clem Le Theo Product Marketing

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Product update: empowering Categorization with machine learning

2023 is almost around the corner and we’ve been busy these last few months. We are now using machine learning models, we added a new receivable institution in Brazil and we fully deployed our fiscal data product in Colombia.

Happy holidays season and/or World Cup celebrations 🎉

Product updates

Categorization powered by machine learning

We improved our Categorization product with machine learning technology! So what does it mean?

It means that our product is now capable of analyzing millions of transactional data points in seconds and internally identifying the correct category for each transaction with 85% accuracy and 90% coverage. Thanks to merchant identification, you can also recover unrecognizable merchant names and turn them into clean, easy-to-read information, including the merchant name, logo and website.

We currently provide 14 standardized categories, in Spanish and Portuguese and our models are trained daily with millions of transactions.

All types of businesses can take advantage of clean and categorized transactions data to make better decisions and provide more personalized insights to their customer.

New dataset for DIAN, our fiscal product in Colombia

We released a new endpoint for our Colombian fiscal product: tax_declarations. Our customers are now able to access yearly tax declarations for both businesses and individuals.

This new endpoint can be very useful for businesses that work with identity recognition and/or data aggregation because they can access a lot of detailed data about a user’s income, debts, etc.

With this latest release, we currently support three endpoints for DIAN:

  • tax_status: Where you can access to RUT (Registro Único Tributario) that all companies and individuals must have in order to comply with their tax obligations. It defines their economic activities and detailed their status information.
  • invoices: Because DIAN offers a free-of-charge invoicing system, it allows you to access paid and received invoices for any business or person.
  • tax_declarations

How to verify customers’ income

To draw a reliable picture of customers’ financial health, you have to retrieve data both from their expenses and income. But usually, a snapshot of users’ income at a specific moment of their financial life is not enough.

To answer our customers’ pain points, some time ago we launched Income Verification! It allows you to accurately understand your users’ financial stability and ability to pay by identifying and predicting income. With this enrichment product you are able to obtain 12-month history of transactions categorized as income:

  • income transactions,
  • type of transactions (eg: salary, cash deposits, pension),
  • confidence level,
  • currency.

Measure the stability of your users’ income, better track income changes, and help them improve their scoring by better managing their finance.

New data sources and coverage

Welcome PagSeguro, our latest receivables’ acquirer

We released PagSeguro as a new acquirer for our Receivables product, now available to start retrieving accounts and transactional data! PagSeguro a leading company in the Brazilian market, responsible for 34% of the marketshare for POS (point-of-sales) machines.

With the expansion of Pix and digital wallets during the pandemic, POS machines are the entry point to accept and process mobile payment in the retail industry. And the opportunities to process this data are huge: the transaction value processed by mobile POS machines is expected to reach a total amount of US$55.49bn in 2027.

The implementation of Open Finance taking place in Brazil, also regulated the receivables market and its operations. From now on, banks and acquirers (Cielo for example) no longer have a monopoly on the market, which allows other players to enter.

Second, a new “institution” (called a register, such as CERC) was created to mediate between acquirers and SMBs. Each receivable must be registered within this new institution.

We developed this product to allow B2B lenders and ERPs to access and add new data sources as well as handle the operational burden of maintaining acquirer connections.

With this new release, we are now supporting Rede, Getnet and PagSeguro.

Happening at Belvo

Debug faster with our new dashboard capabilities

These past few months, we’ve been working on improving our dashboard capabilities to help our customers debug their products faster and more easily.

We created a blog post to map all the different new features we’ve added and how each of them makes developers’ day-to-day more stress-free.

We walk you through every new section with concrete examples, to help you make the most out of our dashboard! And in case you’d still have some doubts about one of our products, you can always have a look at our documentation, made with a lot of ❤️.

How payment initiation can take ERPs to another level?

We wrote a blog post about how ERPs can become even more attractive to companies of all sizes thanks to payment initiation.

ERPs are helping companies by centralizing all the information and activities of different sectors, such as sales, finance, inventory, and human resources into one platform. Much of its performance goes through accounting, simplifying and making more fluid the management of accounts payable and receivable, sales monitoring, and order tracking.

With this in mind, payment initiation is a way to centralize even more activities of each one of the clients, in a quick and frictionless way.

How Juancho te Presta improve its operations with Open Finance

We interviewed Juancho te Presta, a Colombian fintech that offers digital finance products, to learn what drove them to decide to work with open finance technology.

They identified a number of barriers such as a lack of financial education and consumer trust, as well as the country’s employment typology (a lot of informal work). The company’s initial product had a low success rate for granting loans, so they wanted to find a technology that would access bank accounts in real-time.

Since the partnership with Belvo, the company’s successful connection rate for bank accounts is now 60% thanks to open banking technology and our Income Verification product. Read the full story here!

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