Bank of East Asia Selects Fair Isaac Account Management and Origination Technology

The Bank of East Asia, Limited, Hong Kongs largest independent local bank, will use Fair Isaacs leading portfolio management and account origination solutions to improve risk assessment and enhance portfolio profitability. Through the agreement, The Bank of East Asia will become the first Hong Kong-based bank to use Fair Isaacs leading TRIAD adaptive control system for credit card portfolio management. The bank also selected Fair Isaacs StrategyWare decision engine for account origination and plans to utilize the software solutions to manage its credit card and consumer loan portfolios in Hong Kong. Fair Isaacs analytics and decision technology will allow the bank to take a more efficient and profitable approach to decisioning when evaluating new accounts and managing its portfolios. By leveraging data, analytics and business expertise, TRIAD and StrategyWare enable the financial institution to design, automate and improve highly customized and complex origination and account management strategies to ensure that each credit decision or offer is tailored to the applicants risk and potential. Demand for Fair Isaacs advanced risk and account management solutions has increased as financial institutions in the Asia-Pacific market intensify their efforts to meet regulatory compliance goals. TRIAD and StrategyWare play an important role in supporting compliance standards; their application and account behavior scores act as inputs to a financial institutions internal risk assessment methods. TRIAD will calculate behavior scores developed by Fair Isaac for each account holder, allowing The Bank of East Asia to gain regularly updated insight into the risk and market potential of its customers. The behavior scores can then be used in combination with other decision criteria via TRIADs Delinquent Collections, Credit Line Management and Performance Based Pricing decision areas to control customer risk, reduce processing costs, and increase account and portfolio profitability. Using advanced segmentation and multiple scores, StrategyWare will enable the lender to create highly-customized account origination strategies. When a new application is processed, StrategyWare automatically routes it through the chosen strategy based on the clients business rules and preferences and directs it to the right action: e.g. a closer review, a preferred rate or an offer. Strategies also can be tested and refined in a champion/challenger setting using the same adaptive control concepts found in TRIAD.