As any credit manager knows, controlling risk is a delicate business. Too much credit exposure can lead to high default rates and charge-offs; not enough often means lost business and revenue. Assigning scores to new credit applications as well as existing accounts helps to manage this balancing act, but there are serious limitations to many current credit scoring strategies.
Outsourced strategies often mean long development cycles or high annual expenditures. Makeshift in-house strategies often cannot access the data needed to enhance market segments or proliferate scorecard development, and credit managers don't know how much potential income or loss rides on their decisions. In addition, once credit scores are obtained from a third party or legacy system, a lack of streamlined reporting can prevent managers from disseminating this vital information in a timely way, keeping staff from making timely decisions on their own.
Customers with SAS® Credit Scoring for Banking Solutions obtain outstanding business benefits including integrated, in-house model development, population stability and portfolio performance reporting, market segmentation and regulatory documentation capabilities, thereby reducing your integration and implementation risk.