February 15, 2011

The company said the new product seeks to address the continued stress in the consumer economy that has caused overall debt volumes to grow. Credit grantors are outsourcing more debt—not only for charged-off debt but also through the earlier placement of delinquent accounts with third-party collections agencies. At the same time, it’s becoming increasingly difficult to decide how best to assign accounts to various agencies, as those agencies are getting more competitive and credit grantors struggle with inefficient processes and inconsistent agency performance. As such, creditors need more effective ways to monitor agency activities on a daily basis and proactively manage agency performance.

FICO PlacementsPlus service 6.0 gives creditors new tools to optimize the distribution of their debt among collections agencies, matching specific debt attributes with the agencies best suited to that type of debt. The service also now enables creditors to set multiple and customized debt recovery thresholds, or goals for dollars to collect, for their various agencies. The service helps determine the appropriate performance thresholds for each agency and it helps creditors track and evaluate progress and adjust as needed to improve performance and ensure success.

“Creditors can now use the best analytics without having to wait months for lengthy model building—PlacementsPlus 6.0 delivers analytic results within the first 30 days.” said Deborah Kerr, chief technology officer at FICO.

Read more at http://www.fico.com/en/Company/News/Pages/01-19-2011.aspx.