What Makes Upstart Stock So Special?
The consumer loan industry is somewhat antiquated, to put it kindly. Just 48% of Americans have access to prime credit -- yet 80% have never defaulted. Why the imbalance? Traditional consumer credit metrics fail to appropriately assess risk for people with limited or no credit history, causing millions of worthy borrowers to fall through the cracks.
Upstart Holdings (NASDAQ: UPST) is a newly public consumer loan company attempting to broaden access to capital and fix this systemic issue. Here's what it does, how things are working, and why I think it's a buy.
Image source: Getty Images.
Source Fool.com
