Case Study: a major bank reduces delinquency losses with Business Data Miners

Major Bank cuts loan delinquency losses 20% with Business Data Miners

The finance unit of a major bank faced high delinquency rates on auto loans, costing them tens of millions annually. To address this challenge, they partnered with the vendor Business Data Miners.

Business Data Miners developed a custom predictive risk model using the bank's own data, replacing an existing model from a major credit bureau. Their solution optimized total loan costs by balancing bad debt, operational costs, and opportunity costs. This model has been in production for three years, reducing annual losses by approximately 20% from pre-recession levels and delivering tens of millions in savings for the bank.