Combination of Teletrack with the Equifax DataX Business Creates a Leading U.S. Specialty Consumer Reporting Agency; Purchase Underscores Equifax Commitment to Expanding Access to Credit Through Alternative Data Insights
ATLANTA, July 27, 2021 /PRNewswire/ -- Equifax® (NYSE: EFX) a global data, analytics and technology company today announced that the company has signed a definitive agreement to acquire Teletrack®, a U.S. leader in alternative credit data, from CoreLogic®. The combination of Teletrack with the Equifax DataX business creates a leading U.S. specialty consumer reporting agency, with data on more than 80 million thin-file, unbanked, underbanked and credit rebuilding consumers. This powerful source of information will enable lenders and service providers to access more alternative data sources in credit decisioning that can help open new consumer financial opportunities.
"Our strong financial performance, balance sheet, and cloud investments allow Equifax to reinvest our cash flow in this accretive and strategic acquisition of Teletrack that will expand the breadth of differentiated data assets that only Equifax can provide," said Mark W. Begor, CEO of Equifax. "The acquisition of Teletrack is yet another significant investment in our United States Information Solutions (USIS) business that will provide new value to our customers and further establish Equifax as a leading provider of alternative data for use in credit decisioning."
Teletrack has been a leader in the alternative credit data market for more than 30 years. With the ability to receive real-time updates, the Teletrack database can accept new inquiries and a continuous stream of consumer loan performance data from businesses nationwide, including small-dollar installment lenders, rent-to-own businesses, furniture financing companies, auto financiers and subprime credit card issuers. This data can help create a more robust personal financial profile for unbanked or underbanked individuals when they apply for loans and other services.
"The combination of Teletrack and DataX creates a leading specialty consumer reporting agency that will leverage the power of our Equifax cloud investments to make non-traditional credit information more accessible to our U.S. financial institution and service provider customers," said Sid Singh, president of Equifax USIS. "Bringing the combined DataX and Teletrack data assets to our unique data fabric powered by the Equifax Cloud will enable us to create new solutions that can be used in conjunction with bank transaction data, telco and utility payment history and other alternative data assets to create more products to bring unbanked consumers into the financial mainstream."
According to the Federal Reserve, 63 million American adults are either unbanked or underbanked. These individuals potentially face higher costs for borrowing money and barriers to housing and employment. Helping more of these consumers obtain access to mainstream financial services and products requires new insights into individual financial history. More data reveals more scorable consumers, more opportunities for lending offers, and higher approval rates. Equifax research shows that alternative data and technology can enable an additional 21 percent of thin/invisible consumers to become scorable.
"CoreLogic and Equifax have a shared commitment to the development of solutions that help people live their financial best, which in turn strengthens our local communities," said Frank Martell, president and CEO at CoreLogic. "Enabling broader access to alternative data insights is critical towards driving financial inclusion in the United States. The Teletrack team is excited to join forces with DataX to help more consumers obtain access to the credit they need at a time when they need it most."
The transaction is subject to customary closing conditions and regulatory review and is expected to close in the second half of 2021. All Teletrack employees are expected to join the Equifax USIS business unit.
FORWARD-LOOKING STATEMENTS
This release contains forward-looking statements and forward-looking information. All statements that address our performance and events or developments that we expect or anticipate will occur in the future, including statements relating to our future operating results, expected growth and performance, and ability to successfully consummate the Teletrack acquisition, and similar statements about our business plans are forward-looking statements. We believe these forward-looking statements are reasonable as and when made. However, forward-looking statements are subject to risks and uncertainties that could cause actual results to differ materially from our historical experience and our present expectations or projections. These risks and uncertainties include, but are not limited to, those described in our 2020 Form 10-K and subsequent SEC filings. As a result of such risks and uncertainties, we urge you not to place undue reliance on any forward-looking statements. Forward-looking statements speak only as of the date when made. We undertake no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by law.
ABOUT EQUIFAX INC.
At Equifax (NYSE: EFX), we believe knowledge drives progress. As a global data, analytics, and technology company, we play an essential role in the global economy by helping financial institutions, companies, employers, and government agencies make critical decisions with greater confidence. Our unique blend of differentiated data, analytics, and cloud technology drives insights to power decisions to move people forward. Headquartered in Atlanta and supported by more than 11,000 employees worldwide, Equifax operates or has investments in 24 countries in North America, Central and South America, Europe, and the Asia Pacific region. For more information, visit Equifax.com
ABOUT DATAX, AN EQUIFAX COMPANY
DataX, an Equifax company, is an industry leading Fair Credit Reporting Act (FCRA) regulated specialty finance credit reporting agency (CRA) and alternative data provider offering premier financial management solutions to businesses through a suite of advanced products. The insights gleaned from DataX's services empower businesses to manage risk proactively, safeguard customers from fraud, lower customer acquisition costs, and increase revenue opportunities. www.DataXltd.com
ABOUT CORELOGIC
CoreLogic, a leading provider of property insights and solutions, promotes a healthy housing market and thriving communities. Through its enhanced property data solutions, services and technologies, CoreLogic enables real estate professionals, financial institutions, insurance carriers, government agencies and other housing market participants to help millions of people find, buy, and protect their homes. For more information, please visit www.CoreLogic.com.
ABOUT TELETRACK
Teletrack, a subsidiary of CoreLogic, is a leading Specialty Consumer Reporting Agency ("CRA") that provides non-traditional credit data and insights to the alternative financial services industry. Teletrack provides differentiated consumer insights to enable clients to make informed lending decisions and monitor existing loans portfolios.
FOR MORE INFORMATION
Kate Walker for Equifax USIS
[email protected]
Amy Brennan for CoreLogic
[email protected]
SOURCE Equifax Inc.
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