Island Credit Solution and Credit Information Corporation (CIC) Partner to Revolutionize Credit Access in the Philippines with AI-Powered Analytics

Taguig City, Philippines – Island Credit Solution, Inc. has officially entered the Philippine credit
landscape as the newest credit bureau after being accredited as a Special Accessing Entity (SAE)
by the state-owned Credit Information Corporation (CIC). This milestone partnership aims to
transform the country’s credit risk assessment system by making credit data more accessible,
reliable, and technology driven.

With this accreditation, Island Credit Solution is set to redefine financial inclusion by offering a
suite of ready-to-use analytics tools designed for agile and scalable financial applications. By
integrating AI-driven analytics and alternative data sources, the company provides deeper credit
insights not only for banks and fintech lenders but also for micro, small, and medium enterprises
(MSMEs) and rural banks — sectors that often struggle to access credit.

A Next-Generation Credit Bureau

Island Credit Solution differentiates itself from traditional credit bureaus by leveraging advanced
analytics and non-traditional data sources to create a comprehensive risk profile of borrowers.
Instead of relying solely on bank transaction histories, the company incorporates telecom usage,
e-commerce activity, and digital transactions to assess creditworthiness more accurately.

At the core of this innovation is “PhilScore,” a credit rating system designed to provide every
Filipino with a unique and accessible credit profile using the CIC credit reports. This empowers
individuals — especially those new to credit — to build and improve their financial standing while
enabling lenders to make more informed decisions.

“Our goal is to bridge the gap between financial institutions and borrowers, particularly those who
have been underserved or unbanked,” said Hongcheng (Steven) Zhou, Deputy Chief Executive
Officer of Island Credit Solution.

“We offer fully digital services that cater not only to existing bank customers but also to those new
to credit. By helping them start from zero, we contribute to a more inclusive financial system.”

Breaking Barriers in Credit Risk Assessment

For years, the Philippine credit industry has faced challenges such as data fragmentation,
outdated risk assessment models, and limited technological integration. Many financial
institutions struggle to maximize credit data due to technological constraints, often resulting in
inefficient lending processes.

Island Credit Solution addresses these issues with its agile, SaaS-based plug-and-play solution,
which allows banks, fintech lenders, and MSMEs to integrate advanced credit analytics into their
decision-making processes without requiring extensive technical expertise.

In addition to credit scoring, the company operates on a Business-to-Business (B2B) and
Business-to-Business-to-Customers (B2B2C) model, enabling loan applicants to be matched with
alternative lenders with the correct risk appetite and best interest rate. This improves the efficiency
for lenders while increasing financial accessibility for borrowers.

“Our approach goes beyond standard credit reporting. By integrating financial and alternative
data, we provide lenders with deeper insights while empowering individuals with greater financial
opportunities,” Zhou added.

CIC’s Vision for Expanding Credit Access

The Credit Information Corporation, the state-owned public credit registry, plays a crucial role in
this transformation. Under Republic Act No. 9510, also known as the Credit Information System
Act (CISA), CIC ensures that lending decisions are based on accurate and reliable data, fostering
responsible borrowing and risk management.

The CIC is committed to its mandate of increasing the overall availability of credit and enabling
Filipinos’ broader access to finance. To achieve this, the CIC continuously seeks innovative
solutions and partnerships that can enhance the credit ecosystem.

CIC President and CEO Ben Baltazar emphasized the need for more players in the market to
improve credit access. “Many credit decisions in the Philippines are still not based on actual credit
data. By accrediting new SAEs like Island Credit Solution, we are working to change that. The
market is underserved, and we need innovative players to help expand access to credit,” he said.

CIC’s partnership with Island Credit Solution is expected to accelerate the adoption of credit
reports nationwide. PCEO Baltazar noted that in 2024, CIC generated 10 million credit reports,
up from 5 million the previous year. However, with over 70 million borrowers and 300 million
outstanding loan contracts, the potential for growth remains vast.

“I think it is not out of bounds to expect generating roughly around 20 million credit reports this
year, if not more. But right now, we’re confident that the credit market in the Philippines is actually
a 100 million credit report market. That is something we can definitely achieve in the coming
years. But we won’t be able to do that unless we work together and support the mass adoption of
credit data for use in credit and even in valid cases of credit applications,” PCEO Baltazar added.
PCEO Baltazar also highlighted that newly accredited SAEs like Island Credit Solution possess a
unique advantage in the industry. “These companies are, at their core, financial technology firms
with specialized expertise in credit analysis, data processing, and the development of innovative
financial products and services,” he explained.

He emphasized that CIC thoroughly assesses entities with the technology, knowledge, and talent
to navigate the complexities of the credit landscape. “We have identified them as strong players
capable of addressing these challenges head-on. As their regulator, CIC is committed to providing
them with reliable, accurate, and representative borrower data to support their operations,” PCEO
Baltazar said.

He also underscored CIC’s active engagement in industry initiatives, such as Island Credit
Solution’s launch, to raise awareness of the value these credit bureaus bring. “By working
together, we can help lenders and consumers make informed financial decisions, ultimately
fostering a more inclusive and data-driven credit ecosystem,” he added.

AI-Powered Analytics for Smarter Lending

Emerging technologies like artificial intelligence are transforming the way lenders assess credit
risk, and Island Credit Solution is leading the charge with AI-driven analytics tools that provide
real-time, data-backed insights. These tools allow financial institutions to evaluate risk profiles
faster and more accurately, improving loan approval processes and minimizing defaults.
The company’s analytics platform is designed for agility and scalability, making it an ideal solution
for lenders of all sizes. Whether a large bank or an MSME, financial institutions can customize
credit scoring models to fit their specific needs, ensuring more precise and fair lending decisions.
Island Credit Solution also focuses on consumer empowerment, offering direct access to credit
scores and financial education to help individuals manage and improve their credit standing. By
making credit data more transparent and user-friendly, the company enables Filipinos to take
control of their financial future.

As part of its consumer-focused initiatives, the company is exploring partnerships beyond
traditional lending. One potential application is in the hospitality industry, where a good credit
score could allow customers to book hotel stays without requiring a security deposit. This
encourages the broader use of credit scores in everyday transactions while enhancing customer
convenience.

Expanding Financial Access Beyond Cities

While fintech solutions are often concentrated in urban areas, Island Credit Solution is committed
to reaching rural and underserved communities. The company plans to expand its services across
the country, ensuring that Filipinos have access to fair and transparent credit solutions.
Additionally, Island Credit Solution is exploring international collaborations with credit bureaus in
other countries like Singapore, Hong Kong, and the Middle East to support Overseas Filipino
Workers (OFWs). By integrating cross-border credit solutions, the company aims to assist OFWs
with financial planning, remittances, and securing loans back home

A Transformative Partnership for the Future

With CIC’s backing and its cutting-edge analytics platform, Island Credit Solution is ushering in a
new era of financial inclusion and credit accessibility in the Philippines. By combining AI-driven
credit scoring, alternative data sources, and a scalable analytics suite, the company is setting a
new standard for credit assessment, making financial services more accessible to millions of
Filipinos.

To learn more about Island Credit Solution, Inc., visit its website at https://www.islandcredit.tech/.