Benefits
Scoring is not just about risk assessment, it can be used for:
- Acquisition risk and fraud - Credit Scoring and Fraud Scoring
- Objective assessment of risk at point of application
- Focus the lender expertise on marginal cases
- Make decisions rapidly and with confidence
- Improve bottom-line profitability
- Behavioral and Collections - Proactive control of existing customers
- Optimizing collection and litigation procedures
- Optimizing credit limits to promote fair and responsible lending
- Identifying transactional fraud and bad debt
- Cross-selling products and services - Customer retention and portfolio management
- Unlock potential revenues from existing customer portfolios
- Build relationships and retain long-term loyal customer by cross-selling
- Predict the loss of value customers through churn/attrition
- Marketing applications - Understand customers motivations and focus marketing spend:
- Accurately profiling the right customer for targeted marketing campaigns
- Assessing market response
- Pre-screening for credit risk
Traditional scoring procedures - areas of concern:
- Rely on relatively few important items of the applicant data;
- Not all relevant data is usable;
- Subjective decisions with wide broad scoring parameters;
- Interactions in the data are not taken into account;
- May not represent your customer or business objectives
Neural Scoring - significantly more reliable results:
- Emulates the way the human brain works;
- It has the capacity to learn from experience and apply what has been learnt;
- A neural system decision is purely objective and not subjective;
- It can understand relationships between variables hidden deep within data;
- The ability to cope with little or incomplete data;
- It develops highly accurate scorecards and models.
Neural Risk Management proposes one of the world's most advanced solutions for telecom fraud combating.