Case Study: Absa Bank reduces delinquencies and saves 6M Rand with FICO

Absa Home Loans leverages FICO® Platform capabilities to optimize collections to reduce delinquencies

Absa Home Loans, part of the Absa Group in South Africa, faced a sharp rise in delinquencies as living costs and interest rates pushed average monthly repayments up 45%. With 20% of collections resources redirected and the risk of higher provisioning when loans moved to Stage Two, the business needed to reduce roll rates and do more with fewer resources.

Absa partnered with FICO to deploy FICO Platform’s decision optimization, omnichannel communications, and intelligent decisioning. Within six months the program cut roll rates by 0.6% (Stage 1→2) and 1.3% (Stage 2→3), delivered roughly 6M Rand in impairment savings, reduced early-stage call times by 8%, improved segmentation so agents focus on high‑risk cases, and put the business on track for a positive ROI at 12 months.

Absa Bank

Johan Ambrosius

Head of Property Risk and Analytics