Saw a credit algorithm deny my neighbor a loan for something wild

Last month at the bank in Cleveland, I watched a guy get denied a small business loan because an algorithm flagged his hobby as a high-risk category. Turned out it was woodworking, which is just a side thing he does on weekends. Has anyone else seen algorithms make calls that totally miss the real situation?

3 comments

3 Comments

emery29016d ago

Huh, gotta take that with a grain of salt. Woodworking isn't typically flagged as high risk.

wendy82016d agoMost Upvoted

Yeah for real, "gotta take that with a grain of salt" is spot on. I've seen people get some nasty injuries in woodworking... kickbacks, kickback from a saw blade, stuff like that. It's easy to overlook but it can get dicey real quick.

willowg8816d ago

Started wearing padded gloves after a buddy nearly lost a fingertip to a table saw kickback. Cheap ones from the hardware store, around 10 bucks, and they've saved me from some nasty splinters and cuts more than once. Also made a habit of always using a push stick no matter how small the cut is, it's way too easy to let your guard down when you're in a hurry.