We will review the iterative processes involved in :

Policy Rules, Decision Tree development, Scorecard composition and Cut Offs

• Existing customers

• New customers

• Behavioural criteria and weighting

• Financial criteria - Probability of default, credit score bands and cut offs

• Collateral - LGD assumptions

• Super accepts

• Policy decline v system decline

• Policy refer v system refer

Ongoing portfolio performance review and Testing

• Testing frequency and protocols

• Final decision rate - New scorecard v old scorecard by credit score

• Approvals - new sc v old sc by credit score

• Refers - new sc v old sc by credit score

• Declines - new sc v old sc by credit score

• System v analyst rates - new sc v old sc - over rides

• 1st payment defaults - old sc v new sc

• Treatment of declines

• P&L impact of incremental approvals - PV Margin +fees less Operating costs and Expected Loss

• Knowledge of the strengths and weaknesses of the scorecard

  Performance Reports, Dashboards by Dealer and Supplier

• Volume, yield, margin, fees, AM Income

• Conversion rate

• Finance penetration

• Decision rates - Approval, refer, decline, and turnaround time

• Scorecards per rated Supplier (Gold , Silver and Bronze)

• Portfolio performance - Arrears, provisions, w/o

• Recourse performance - formal and informal