The Bectran Scoring Model provides you with the very insight you need to understand a customer's credit risk profile, as well as how much credit you should award with minimal risk. A customer’s credit risk profile is determined from a comprehensive analysis of risk based on your company’s credit policy, market conditions, customer business and financial data, and credit intelligence data from multiple external sources. Better credit decision-making significantly helps to minimize incidences of credit losses resulting from credit defaults.
A more targeted credit risk evaluation model produces a better measure of risk. You can define a custom scoring solution to address the individual segments of your customer base. The custom scoring solution takes into account the underlying business characteristics and credit risk profile of each segment of your customer base. Typical data inputs into the scoring solution include credit bureau data, financial statements, internal customer credit information, country risk factors, credit references, personal guarantees, credit application information, etc. In addition, Bectran offers several out-of-the-box scoring solutions that can be quickly adapted.
You can set thresholds in your scoring models based on customer attributes that significantly influence your risk appetite. With threshold-based credit risk evaluation, you automatically eliminate high-risk customers below threshold, allowing you to focus on customers with more optimal risk-return ratios. This model becomes very handy in a high-volume/low-value transactions environment where accurate and rapid credit decisions are vital.