Managing the Unpredictable
Bankruptcy losses are often the hardest to recover and the most difficult to predict using traditional credit scoring models.
With today’s fluctuating bankruptcy rates, lenders need specialized tools that go beyond basic creditworthiness. CBD designs custom models that allow you to manage and mitigate the impact of bankruptcies on your portfolio before they happen.
The Recovery Challenge
"Bankruptcy losses are the hardest to recover. Our models focus on early detection of behavior shifts that signal high-risk bankruptcy potential."
Strategic Bankruptcy Management
Our custom models empower your team with the intelligence to:
- Accurate Risk Estimation: Predict a customer’s specific bankruptcy risk over a defined time period.
- Behavioral Response: Identify and react to sudden changes in customer charging or paying behavior.
- Optimized Credit Spend: Know exactly when it is necessary to buy a fresh credit report to re-evaluate risk.
- Demographic Focus: Improve risk targeting by incorporating detailed demographics and customer data.
- Dynamic Policy Updates: Update your internal policies as economic conditions and bankruptcy trends shift.
- Portfolio Impact: Minimize the overall loss rate by proactively managing high-risk segments.