TransUnion today announced the launch of Payment Behaviour Score, a new score to improve the effectiveness of acquisition and portfolio reviews for credit card businesses.
This scoring solution is designed to strengthen relationships with cardholders and enhance the portfolio management strategy for the credit card providers.
TransUnion's Payment Behaviour Score analyzes every stage of the customer lifecycle, predicts payment behaviour, designs programs and offers specific to segmented consumers and their affordability risk levels.
"TransUnion's Payment Behaviour Score will help businesses with segmentation strategies and modeling to improve efficiency and increase return on their customer portfolio," said Lawrence Tsong, TransUnion's managing director.
The Payment Behaviour Score can be used in conjunction with TransUnion's Credit Management Score (CMS), which predicts an individual's likelihood of 90-day default in the coming 12 months. The widely used CMS is highly predictive on both new applications and review checks. By using both, businesses can better understand consumer payment behaviour and manage risk.
In addition to the Payment Behaviour Score, TransUnion also has launched Personal Loan Score, the industry's first credit scoring tool designed to help businesses reduce delinquency of unsecured loans.