Using Scorecards to Minimize Risk and Increase Revenue Opportunities

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Scorecards are used by credit lenders to determine the creditworthiness of borrowers, and by marketers to better understand consumer interest in product or service offerings. To help make decisions about an applicant, data from 3rd-party providers that includes delinquency scores, failure scores, and payment ratings; demographic attributes; and the history of current account activity is often used to create a model that predicts the probability of a loan default.

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