Custom Solutions ⇒ New Accounts

New Accounts

New Application Scoring Models - Automates new account decisions

Credit Policy Consultation - Refine or set policy criteria

New Application Scoring Models

In today’s automated world, the question is Not “Do I use scoring?” But “Which score should I use?” If you are looking for proven performance, then PredictiveMetrics (PMI) is the scoring provider for you. PMI knows statistics and how to apply it to meet your business objectives. We have extensive experience with many third party data providers, and our new application models use only the data that is necessary for knowledge-based decisions. PMI takes the time to listen, asks questions, and works closely with you ensuring our model meets your expectations. This is accomplished quickly by PMI being flexible, efficient, and responsive to you.

A New Application Scoring Model is designed to predict an unacceptable level of delinquency risk by providing a continuous risk score that identifies low, medium and high-risk applicants. This multivariate (i.e. incorporates many different data elements) statistical credit scoring model is empirically derived and applies credit application data with commercial credit bureau, consumer credit bureau, industry specific trade, financial statement data or a combination of these.

Based on your objectives and input, PMI conducts a rigorous analysis of the accounts in your portfolio. We use advanced statistical methods to analyze hundreds of variables, choose and weight the most predictive indicators of creditworthiness to predict future payment behavior. PMI proves the model’s predictiveness mathematically by validating it on your own portfolio. In addition, PMI can integrate your own credit policy rules with the score to make accept/decline decisions and in setting credit limits.

A New Application Scoring Model is easily implemented on your own system. PMI provides technical specifications to code the model and runs test cases to make certain the model is coded correctly.

Benefits of a New Application Scoring Model

Optimize credit lines and reduce delinquency rates, write-offs and losses
Reduce credit analyst intervention on routine transactions through automation
Drive efficiencies of scale into operations
Improve consistency and effectiveness of new credit decisions
Combine the score with validated credit policy rules creates a superior decision system

MORE INFORMATION ON NEW APPLICATION SCORING

Credit Policy Consultation

The keys to an effective and efficient credit underwriting policy strategy are technology, information, knowledge-based statistical decisions, and on-going analytical support. Success in setting or refining new account credit policy is recognizing the important components that identify credit risk.

PredictiveMetrics (PMI) helps you mathematically understand your new application credit policy and its impact on the portfolio. PMI will conduct a rigorous analysis examining credit scores in conjunction with the following types of information: application, financial, internal, and/or credit bureau data and will provide expert recommendations. We provide consultation to refine or set credit policy in the following areas:

Accept/reject policy
Credit line policy
Credit bureau use
Applying credit score technology