Viva Republica, operator of Toss, is teaming up with Jeju Bank to expand its loan comparison service for sole proprietors. It will exclusively list Jeju Bank's credit loans based on its small-business-focused credit scoring system (SCB) on Toss. It will also gradually apply Toss Score to loan screening.

Toss said on Wednesday it signed a strategic business partnership agreement (MOU) with Jeju Bank to expand inclusive finance for sole proprietors.

Under the agreement, Jeju Bank's sole-proprietor product, "Growth Index Inclusive Finance 2.0 Owner Credit Loan", will be listed exclusively on Toss among loan comparison platforms. The product combines the growth index introduced by the Financial Services Commission with an ERP-data-based alternative credit assessment model Jeju Bank has operated since March.

SCB is a credit scoring system that assesses the growth potential of small business owners using non-financial information such as sales, business type and commercial areas. Jeju Bank is the only regional bank participating in an SCB pilot programme and is applying it to actual sole-proprietor loan products.

The two companies also plan to gradually introduce Toss's alternative data and its alternative credit assessment, Toss Score, into Jeju Bank's screening system. The idea is to expand financial access by reflecting in screening the repayment capacity and growth potential of sole proprietors that were difficult to assess based only on existing financial transaction histories.

They also plan to pursue technical cooperation related to payment and financial services, as well as joint marketing targeting small business owners, and to cooperate in revitalising the Jeju regional economy.

Toss Vice President Kyu-ha Kim (김규하) said, "We will work with Jeju Bank to broaden financial access for sole proprietors."