Credit Scoring Software by RNDpoint

Credit scoring is increasingly being used by banks and other financial institutions to measure risk factors when financing small and medium enterprises (SMEs) and individuals. It is applied to approve loans and uses scores to assess the potential credit risk of borrowers.

Thanks to technological advances in credit reporting systems and modern credit scoring software, financial institutions can extend their credit portfolio to SMEs and individuals by using this method. 

Our experienced team will help you evaluate the creditworthiness of your potential customers in an automated, consistent, and objective manner by implementing or integrating solutions from the leading credit scoring software vendors.


Commercial credit scoring software
: points of interest

The key to implementing credit scoring model software is the automation of loan origination workflows that occur between a loan supplier and individual customers or SMEs. 

Credit scoring system integration helps banks to undertake a transparent analysis of each specific relationship. Scoring software solutions can consider the number of issued invoices and the efforts for payment collection.

When calculating customers’ credit score, the credit scoring system also includes external information, such as credit insurance information, exceeded credit limits, credit ratings, and black and white lists. At RNDpoint, we can implement the import of critical information from other systems or sources into the database, such as risk codes, locations, etc. Another option that can be enabled is a forced stop of the automatic processing of a loan application for any reason. This allows you to complete further analysis in your credit or risk departments.

To sum up, the credit scoring software can combine both financial and non-financial data analysis to form an in-depth overview. This is needed to evaluate all individual customers and SMEs.


Credit scoring software implementation

Our rich background in credit scoring software development and integration shows that positive results are achieved only after careful analysis of technical requirements and our clients’ credit policies. That is why our specialists have outlined the following step-by-step credit scoring software implementation scenario:

  • Step 1. Definition of the scoring segment.

    The first step in a scoring software project implementation is identifying the type of customers and products scoring for which the scoring model will be used.

  • Step 2. Selection of the scorecard type.

    There are three main types of scorecards:

    • Statistical: empirically derived from data on customers’ past loans;
    • Judgmental: structured from expert judgment and institutional experience;
    • Hybrid: a mixture of statistical and judgmental techniques.
  • Step 3. Design of the credit scorecard.

    The process of scorecard design, regardless of its type, can be grouped into these three phases:

    • Definition: what is a bad loan?
    • Discovery: which characteristics most influence risk?
    • Development: what combination of factors provides the best results in back-testing?
  • Step 4. Test, Implementation, and Management of the scorecard.

    This is further subdivided into the following phases:

    • Back-testing. A thorough analysis of back-testing results, helping us to examine the expected effects of any number of different scoring policies.
    • Pilot testing. The goal of pilot testing is to get a feel for how the model works in practice. What are the score ranges? Do the scores coincide with perceived risk levels? Are there any unexpected complications in collecting data needed for scoring? The answers to these questions can shape scorecard policy and procedures.
    • Integration with your IT-systems. In modern financial institutions, a scorecard can be deployed effectively as an additional module to an existing software platform. But due to a lot of successful cases of credit scoring software integration into banking infrastructure, our technical experts can adapt our solutions to your IT systems.
    • Long-term software management. Scorecard management is a long-term process that must continue well beyond the initial excitement of scorecard development and implementation. We provide you with assistance in technical support and periodical software updates to ensure the installed credit scoring software continues to work.

Benefits of credit scoring software solutions

There are clear benefits for credit managers and officers that use the credit scoring software:

  • Speed
  • Accuracy
  • Consistency
  • A reduction in bad debts
  • Clear risk analysis
  • Prioritization of other essential activities

Adopting a clear and consistent scoring policy enables risk managers to compare customer performance and credit history analysis without pattern exceptions. Most importantly, scoring grants the opportunity to draw credit scores for your customers individually. This data can be used to segment customers. You can place them in the right workflow and create the best actions for each customer, giving a personalized approach.

Our experts can provide your company with a perfect tool, enabling you to draw a complete picture of each customer. It will help your risk department better analyze risks, work more efficiently, prioritize, and reduce non-performing debts.


Key features of
credit risk scoring software

  1. Credit scoring software development has become a trend. The software solutions that we offer give lenders a fast, objective measurement of credit risk and help avoid the loan origination process becoming slow, inconsistent, and unfairly biased.
  2. FICO credit software. Our team specializes in FICO credit software. This is widely used by different financial institutions as FICO®-score effectiveness is proven for solutions in traditional banks, as well as for microfinance credit scoring software. The software will help create a clearer picture of your customers’ credit history and protect you from errors while calculating the potential risk of non-collectible loans.
  3. Quick and less risky. Your applicants receive credit decisions quicker. Even a mortgage application decision can be taken in days instead of weeks. Credit scoring software also allows you to make “instant credit” decisions in retail stores, online stores, and other lenders. With credit scoring solutions, you can focus only on the facts related to credit risk. Credit “mistakes,” caused by human factors, don’t need to feature in your business.
  4. New lending opportunities. Precise information leads to increased lending opportunities. By using our solutions, you can have the confidence to approve more loans. This is because our credit scoring software gives you more precise information on risks and other credit factors. It allows your risk officers to identify individuals who are likely to perform well in the future, even if their credit report shows past problems.

Got challenge? Get in touch!