Lantern Credit, a fintech company that works to solve systematic inefficiencies in the consumer credit industry, announced on Tuesday it is enhancing its proprietary machine learning engine, Beam AI, by acquiring the Abstract Regression-Classification (ARC) Machine Learning Library. The company noted that this machine learning library will enable it to use a human-machine hybrid learning approach that will incorporate human guidance in the marching learning training process and produce more reliable outputs.
According to Lantern Credit, the Beam AI will now use the symbolic regression technology to ensure that credit offers will be presented to consumers in an actionable and timely way. The company reports that this will benefit consumers and lenders with an improved consumer experience and reduces adverse action reporting. The company also noted that ARC will be used to examine consumer intent and interaction patterns as a way to ensure the most relevant and timely education, along with credit related content, is presented to the consumer. While sharing more details about the acquisition, Chad Swensen, CEO of Lantern Credit, stated:
“Leveraging the ARC software to advance the Beam AI technology produces the most advanced artificial intelligence (AI) and machine learning application in the consumer credit management space. This will enable us to help financial institutions provide credit offers that are relevant while providing information that empowers consumers to improve their overall financial wellness.”
John Sculley, Vice Chairman of Lantern Credit, also commented:
“Our Beam AI is based on nonlinear symbolic regression and is the first white box machine learning technology productized for consumer credit finance. We enable our bank partners to monetize their massive consumer data with actionable analytic predictions and better manage risk of lending decisions based on specific underwriting requirements.”
As part of the acquisition, Lantern Credit has appointed the creator of ARC, Michael Korns, as its Chief Data Scientist.