Do you often give away your hard earned credit to only one lending source or credit card issuer? If so Stop!
Our Solution.
The idea here is that in the financial world, with reference to consumers and borrowers the "Be-all and End-all" is based on ones credit or creditworthiness. Is it not logical to think that ones credit has immense value? That real or perceived value has the wherewithal to measure the worth of this extremely valuable commodity in the marketplace. If the financial world views credit as well as creditworthiness as the life blood of ones financial health and existence, it is also quite clear that should not creditors bid for the much sought after prize? The consumer should hold out and expect to receive the best bid or offer instrumental in lowering interest rates, cost and fees in the marketplace before relinquishing their most sought after prize their credit.
Kutro creates an online credit score auction system and application monetizing consumers credit. A valued destination and platform where consumers place their credit out for bids enabling mortgage brokers, loan officers and lenders the opportunity to offer an interest rate bid to prospective borrowers. This also includes credit card seekers receiving a card based on their credit monetary market value. The loans offered should contain cost savings and reduced interest rates reflecting the monetary market value of the borrowers credit. This would require a complete paradigm shift within the mortgage, loan and credit card industry. This concept is applicable to auto loans and all other loan types.
The bid process would not be determined solely by credit score rank. Supply and demand would prove to be an important factor within the bidding framework. Consumers or borrowers would initiate the process by issuing a Request For Bid (RFB) during registration.
Borrower Exchange : is a website which offers borrowers credit for bid by a reverse auction process. Rather than the bidder with the highest bid winning as is the case in standard auctions, the winner is the lender who has the "Lowest Unique Bid".
Credit Card Bidders Area : an area designed for users who only want to offer their credit score for bid only to get a credit card (tarjeta de credito). There are two types of users for this area 1) Credit card seekers 2) Credit card issuers
Example # 1
John and Susie Public have an average credit score of 730 and they need to buy a house. They would submit their credit score to the borrowers exchange and initiate a (RFB) request for bid for lenders. Based on the monetary value of their credit in the marketplace the borrowers should demand the best loan rates as well as the best overall loan package from bidding lenders desiring to secure business with the borrower.
Example # 2
Bill and Mary Public have an average credit score of 695 and Bill wants to buy a new fishing boat. They would submit their credit score to the borrowers exchange and initiate a (RFB) request for bid for lenders. Based on the monetary value of their credit in the marketplace the borrowers should demand the best loan rates as well as the best overall loan package from bidding lenders desiring to secure business with the borrower.
How is the Lowest Unique Bid Determined?
The "Lowest Unique Bid" is the amount of interest closes to or lower than the prevailing current interest rate. The amount closes to or lower and in some cases higher than the current interest rate where no other bidder has bid the same amount of interest is considered the "Lowest Unique Bid".
It is your right as a consumer to accept or reject the final bid.
Overall, remember that it is the marketplace monetary value of your credit history, credit and credit score that will determine the interest rate bid offers.
What if none of the bids are unique?
In the event that there is not one single Lowest Unique Bid at the close of the auction, the winning bid will be the earlier of the lowest bid amount with two bidders. If this still does not produce a winner, it will go to the lowest bid with three bidders, and the process continues until a winner is produced.
Who is the winning bidder?
The winning bidder is the person who has the Lowest Unique Bid at the close of the auction subject to the winning bid being validated. The Lowest Unique Bid is the lowest bid which has not been offered by any other Bidder.
The table below provides examples of how this is worked out:
Monetizing Credit #1 - Consumers or borrowers would initiate the process by issuing a Request For Bid (RFB).Consumers place their credit out for bid enabling mortgage brokers, loan officers and lenders the opportunity to offer an interest rate bid to prospective borrowers based on their credit market value.
*Monetizing Credit Income Opportunity #2 - borrowers can refer other borrowers and get paid. Net $7.00 for each referral. The $7.00 is held during the loan approval and signing process. Once the applicant has signed and closed the loan the referrer is sent a check for their referral. If the applicant is not approved or if the applicant opt-out of the loan process the referrer will not receive the $7.00 referral fee. The end result is no payment due for referral because the loan did not close.
What are the benefits lenders should offer borrowers / consumers
What are the borrower / consumer benefits?
Broker or Lender benefits: