What is the future strategy of Solvar?, page-49

It is certainly a problem. Not necessarily something I am personally worried about right now with SVR.

I mean it basically means small to medium companies might have a competitive disadvantage. They might end up offering loans at higher interest rates or to less qualified borrowers, which could increase their risk of defaults. Alternatively, they might miss out on good borrowers, who are then scooped up by larger banks with better access to data.

In saying that, I am unsure if SVR rely heavily on consumer credit data to make lending decisions. For example, if they focus more on secured loans (like auto or home loans where the loan is backed by an asset) rather than unsecured personal loans, they might not need detailed credit reports as extensively. Likewise, they might have robust risk management strategies that can mitigate the impact of reduced access to credit data. I.e. diversified loan portfolios, customer retention strategies, focus on existing customer who already have credit histories with them.

Either way potential regulatory changes always will pose a challenge, but companies often find ways to adapt via strategic changes. Will be interesting to see what comes of it