Millions of South Africans who have long been overlooked by the traditional credit system are finally getting a chance to be seen—thanks to their mobile phones. In a bold collaboration, MTN, its data exchange platform Chenosis, and TransUnion Africa have rolled out a credit scoring solution that uses patterns in phone usage to determine a person’s financial trustworthiness.
Dubbed the TransUnion Telco Data Score, this new model offers a lifeline to individuals without formal credit histories—often referred to as “credit invisible.” Instead of relying on salary slips or bank records, the system uses anonymized mobile call data records (CDRs)—like how often a person recharges airtime or who they call regularly—to build a behavioral profile that lenders can use to assess risk.
South Africa is home to more than 16 million adults excluded from mainstream financial services. Traditional credit bureaus simply don’t have enough data to evaluate them. And yet, these same individuals use mobile phones daily, creating a trail of data that reflects habits, consistency, and, increasingly, financial behavior. For many young people under 25, this is their only digital footprint—and it may be enough to finally gain access to credit.
“Young workers often need credit for basic needs like professional clothing or transportation. But with no previous loans or banking history, they’re shut out,” said a spokesperson from TransUnion. “Now, their phone activity could speak for them.”
This approach isn’t just about innovation—it’s about necessity. Many African markets, including South Africa, are mobile-first. People may not have a bank account, but they have mobile wallets, buy airtime, and engage in consistent digital behavior. That’s the logic behind using mobile data to expand access to loans and other financial products.
MTN, which provides mobile services to millions across the continent, has ensured that this solution respects user privacy. No data is shared without explicit consent from the mobile user, and the system complies with the Protection of Personal Information Act (POPIA). Chenosis, MTN’s API marketplace, acts as a secure bridge between the telco data and partners like TransUnion.
“This is what responsible data innovation looks like,” said Selorm Adadevoh, MTN’s Group Chief Commercial Officer. “We’re not just using technology—we’re using it to empower people who’ve been financially invisible for too long.”
Lenders, too, are expected to benefit. The Telco Data Score has already shown significant improvements in helping banks and retailers predict which consumers are likely to repay. Early tests suggest a 25–35% accuracy boost over older models that used other non-traditional data.
For those who start building a credit profile using this score, the journey doesn’t stop at a first loan. Data shows that individuals who start as low-risk borrowers often increase their financial activity within 18 months, gradually becoming fully engaged members of the financial system.
Ultimately, this mobile-based credit score is more than a product—it’s a pathway. It’s a chance for people to move from the margins into the mainstream, using the phone in their pocket as a key to economic inclusion.
