Libra Internet Bank, a Romania-based digital bank, has announced a partnership with Mifundo to integrate cross-border financial data into its credit assessment process for Romanian customers living and working abroad.
The bank describes itself as one of the first in Romania to use EU and UK financial data in evaluating diaspora credit applications.
Through Mifundo’s platform, Libra Internet Bank can now incorporate income and credit history data from the majority of EU member states and from the UK when assessing mortgage and credit applications from Romanian diaspora customers. The integration reduces reliance on manual data collection processes and shortens decision timelines, while maintaining the bank’s existing credit standards.
Product offering and regulatory alignment
Libra Internet Bank offers Romanian diaspora customers a dedicated mortgage product for purchasing property in Romania, designed for individuals earning income abroad. The application process is available entirely online, with customers required to travel to Romania only to sign the loan agreement.
The partnership aligns with the EU Consumer Credit Directive (CCD2), which requires the use of relevant data from multiple countries in credit assessments and mandates equal treatment for citizens across EU member states. Mifundo’s Verified and Passportable Financial Identity platform, which is EU-funded, connects credit data from more than 20 countries covering over 70% of Europe and delivers it in a standardised format compatible with existing lending processes. The platform is already in use by banks across several European countries.
Corneliu Toma, Director of the Retail Banking Division at Libra Internet Bank
Kaido Saar, CEO and Co-founder of Mifundo
Talking about the move, Corneliu Toma, Director of the Retail Banking Division at Libra Internet Bank, said many Romanians working in Europe have stable incomes and solid credit histories that were not previously available in credit evaluations, and that the Mifundo partnership enables the bank to use credit bureau and banking data from the country of residence when assessing diaspora applications. Kaido Saar, CEO and Co-founder of Mifundo, noted that banks using complete cross-border credit data make more precise decisions, increase approval rates for foreign-resident customers, and reduce risk compared to assessments based solely on local data.
Source: thepaypers.com
