AdalFi’s AI Lending Engine Crosses $200M with 0.2% Defaults
Pakmatters readers measure fintech not just by funding rounds but by throughput and loss rates. AdalFi’s latest update delivers on both. The company has powered more than $200M in partner lending while holding defaults at just 0.2%. Its AI model has processed 1.2B+ transactions, evaluated 30M+ borrowers, and improves continuously by learning from 50K+ repayments each month.
At the core is the AdalFi Lending Loop — Assess → Activate → Disburse → Optimize — a closed-loop design that compounds accuracy over time.
- Assess: The Analytical Architecture ingests core, open banking, and bureau data to produce explainable, policy-aligned decisions that reduce the gap between risk models and customer experience.
- Activate: Integrated scoring triggers event-driven campaigns (SMS, push, email, in-app, agent scripts), boosting conversions with less manual effort.
- Disburse: Prequalified customers can complete journeys in under a minute. SDKs and APIs embed directly into digital channels and come pre-integrated with major cores like Oracle FLEXCUBE, Temenos, and Symbols, giving banks quick wins.
- Optimize: Real-time signals on balances, cash flow, and repayments feed back into the scoring layer, tightening limits and enabling proactive outreach that keeps portfolios healthy.
Learning runs at two levels. Banks use an inner loop that trains models on-prem with daily transactions, while a federated outer loop strengthens models across partners using anonymized repayment data — more than 50K events monthly — without compromising privacy.
AdalFi also emphasizes delivery. A 12-week path to production covers model testing, policy setup, journey design, integrations, and campaign activation, ensuring banks see results inside a quarter.
International expansion is backed by leadership hires: Ian Read heads Credit Excellence, while Emre Unlusoy leads MEA sales.
For Pakistan’s fintech watchers, the message is clear: when every repayment sharpens the model, growth and governance advance together.
