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Featured White Paper

PDFBuilding “Ability to Pay”-Compliant Growth Strategies
No. 68, June 2013
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The CARD Act's income provision poses a lasting challenge for issuers to comply without sacrificing profit goals

Since the CARD Act took effect, capturing or estimating the income component of the ability to pay provision has emerged as a major hurdle for card issuers doing business in the US. Without a doubt, this provision has had a material impact on bottom lines. Estimates suggest, for instance, that issuers who cannot proactively grant line increases could be losing $50 per active account per year in foregone revenue.

This white paper explores the ability to pay issue in depth, including:

  • Analysis of today’s regulatory environment
  • Examination of compliance costs and hurdles
  • New research into the predictive value of income
  • Best-practice strategies for compliance and growth

More White Papers

PDFWhen Is Big Data the Way to Customer Centricity?
No. 67, April 2013

Next-generation analytic learning finds critical insights in an ocean of false clues

PDFFive Imperatives in a Shifting Collections Landscape
No. 66, February 2013

As widespread technological, social and economic changes pose challenges, best practices must advance

PDFIs Growing Student Loan Debt Impacting Credit Risk?
No. 65, January 2013

New research shows that student loan debt has increased dramatically and student loans are riskier than before

PDFCan Fraud Alerts Raise Customer Loyalty?
No. 64, December 2012

Stop fraud faster while building trust by better managing the customer experience

PDFFrom Big Data to Big Marketing: Seven Essentials
No. 63, November 2012

Best practices for performing data-driven personalized marketing at an immense scale

PDFWhat Is the Future of Banking Fraud Management?
No. 62, August 2012

Changing market forces require a new approach to enterprise fraud management

PDFWhere Do You Fit on the Risk/Capital Management Matrix?
No. 61, July 2012

To stay competitive, retail banks must not only advance capital management and risk management, but integrate them

PDFManaging Card Compromises from the Issuer’s Perspective
No. 60, June 2012

Industry insiders share tips for effectively managing mass compromises

PDFCustomer Decisions Can Improve Capital Management
No. 59, April 2012

Retail banking risk managers take on a new and highly valuable role

PDFHow Mobile Communications Can Improve Collections
No. 58, March 2012

Mobile applications and SMS can boost customer repayments at a lower cost than traditional contact methods

PDFRealize the Profit Potential Already on Your Books
No. 57, January 2012

New approaches for retail bank success in customer-level decisioning

PDFHow Much Is US Credit Behavior Changing?
No. 56, November 2011

New FICO research provides answers and points to opportunities

PDFComply and Compete: Model Management Best Practices
No. 55, October 2011

Improve model validation and tracking practices to prepare for a regulatory audit and boost decision performance

PDFAn 8-Point Tune-Up to Boost Auto Lending
No. 54, August 2011

How analytics and business rules are helping lenders steer more top-line growth to the bottom line

PDFA “New Normal” Is Emerging—But Not Where Most Banks Expect
No. 53, July 2011

The trailblazers are building a new normal capacity for adapting and innovating into their operations

PDFA Preventative Approach to Medication Nonadherence
No. 52, June 2011

New predictive analytics enable engagement with the right patients before they become nonadherent

PDFAnalytic Learning Loops Propel Bankcard Growth
No. 51, June 2011

Turn your acquisitions and originations processes into an analytic learning powerhouse for boosting card revenues, margins and profits

PDFPredicting Strategic Default
No. 50, April 2011

New analytics identify customers likely to walk away from their mortgages, even when not yet delinquent

PDFWhich Retail Analytics Do You Need?
No. 49, March 2011

To increase ROI, match the right analytic techniques to your business objectives

PDFLeaning Into the Next Economy: The Counter-Cyclical Imperative
No. 48, January 2011

To head off the next credit bubble, banks must rethink how they make risk and capital management decisions

PDF10 Questions to Ask Before Buying an Optimization Solution
No. 47, December 2010

Learn how you can avoid common pitfalls and gain up to 20% profit improvement

PDFBuild Your Analytic Edge at Originations
No. 46, December 2010

Using analytics and optimization to make more profitable origination decisions

PDFCard Compromises—New Risks and Best Practices
No. 45, October 2010

Keep your defenses on a solid footing despite shifting fraud threats

PDFThe Three Best Targets for Attacking P&C Insurance Fraud
No. 44, September 2010

To reduce losses, detect fraud earlier by focusing on these key points in the property and casualty insurance process

PDFHow Analytics Can Help Banks Navigate Financial Reform
No. 43, September 2010

Decision analytics can help banks plan better and perform better

PDFHow Are Issuers Changing Course Under the CARD Act?
No. 42, August 2010

An industry snapshot finds leading US issuers exploring new ways to manage the bottom-line impacts of regulation

PDFWhy Business Rules Are Critical for Retail Success
No. 41, July 2010

Five strategies for building customer-centric marketing

PDFPost-Crisis Analytics: Six Imperatives
No. 40, July 2010

Economic stress has produced more demand for analytic insights and is changing how we use them

PDFThe 11 Secrets of Business Rules Success for Insurers
No. 39, June 2010

How to balance speed and quality when building a rules-based approach to Decision Management

PDFHow Good Is Your Collections Challenger?
No. 38, June 2010

For faster learning and larger gains, take a more scientific approach to champion/challenger testing

PDFSix Tips for Tackling First-Party Fraud and Abuse
No. 37, May 2010

Reduce bad debt levels by differentiating these loss-generating behaviors from ordinary delinquencies

PDFEnhancing BPM with Business Rules
No. 36, May 2010

Increase your business agility by separating management of decision logic from mechanics of business process

PDFHow much credit is too much?
No. 35, April 2010

Analytic measures of credit capacity can help bankcard lenders build strategies that go beyond compliance to deliver business advantage

PDFOutliers Find Fraud in Fast-Changing Markets
No. 34, April 2010

Analytic innovation swiftly detects fraud, even though just about everything in retail banking is changing

PDFCredit CARD Act: Move Ahead of the Curve
No. 33, March 2010

Research shows opportunities for lenders who act quickly and leverage sophisticated scoring and analytic tools

PDFTop Retailers Compete with True 1-to-1 Marketing
No. 32, March 2010

Analytically derived offers—individually generated, timed and delivered across multiple channels—are driving double-digit gains

PDFBoost Collections and Recovery Results With Analytics
No. 31, February 2010

As delinquencies continue to rise, predictive analytics focus collections and recovery efforts to maximize returns and minimize loss

PDFSeven Accelerators When Adopting Predictive Analytics
No. 30, February 2010

Best practices in putting analytics to work with business rules

PDFWhy Real-Time Risk Decisions Require Transaction Analytics
No. 29, January 2010

Reduce losses with sharper, faster risk prediction and action in customer management and collections

PDFHow Profitable Will Your Cards Be After the CARD Act?
No. 28, December 2009

Your most profitable accounts may be the most affected by CARD regulations—here are 5 things you can do about it

PDFFour Essentials for Enabling Pattern-Based Strategies
No. 27, December 2009

Predictive analytics and business rules top the list of enabling technologies for detecting and acting on leading indicators of change

PDFHow do economic changes impact consumer risk?
No. 26, November 2009

Lenders require new analytics to gauge how dynamic market conditions affect risk

No. 25, September 2009

Channel-specific monitoring is no longer enough; banks must move to account-level detection

PDFRecession-Proof Your Business Rules with Decision Simulation
No. 24, September 2009

Put the right rules into production faster without costly mistakes

PDFReduce Exposure With Pre-Delinquent Treatments
No. 23, September 2009

The right action at the right time mitigates risk while protecting and even strengthening customer relationships

PDFHow Are Credit Line Decreases Impacting Consumer Credit Risk?
No. 22, August 2009

As lenders reduce or close credit lines to mitigate exposure, new research explores its impact on FICO® scores

PDFBest Practices in Green IT
No. 21, August 2009

With advanced technologies and sustainable practices, you no longer need to choose between profit and the planet

PDFBuild Your Action Plan for the Credit CARD Act
No. 20, July 2009

How the sweeping reform will impact you and what steps you should take now

PDFOpting In or Out: Protecting Revenue Under Overdraft Reform
No. 19, July 2009

Know the financial impact and be prepared to act

PDFFICO Score Trends in Today's Economic Uncertainty
No. 18, July 2009

New study explores changing risk dynamics and how lenders can respond

PDFThe 11 Secrets of Business Rules Success
No. 17, June 2009

How to balance speed and quality when building a rules-based approach to Decision Management

PDFA Recipe for Right-Sizing Credit Facilities
No. 16, May 2009

Use these 5 steps to avoid the pitfalls when reducing credit facilities

PDFMake Your Focus on Deposits Pay Off
No. 15, April 2009

It’s time to apply the same rigor to deposit accounts as you do to credit accounts.

PDFTake These 6 Steps BEFORE New Card Pricing Rules Hit
No. 14, February 2009

Acting before proposed credit card pricing regulations take effect can help you comply and compete.

PDFDecide to Survive
No. 13, February 2009

Four imperatives make Decision Management essential in today’s uncertain environment.

PDFA new highly predictive FICO score for an uncertain world
No. 12, February 2009

Lenders gain a 5%-15% predictive boost to manage business and control losses.

PDFBetter Collections Performance in a Time of Crisis
No. 11, December 2008

Collectors are deploying collections scoring to realize a rapid return-on-investment in a time of intense pressure.

PDFA Five-Step Approach to Stress Testing Your Portfolio
No. 10, December 2008

With the continuing financial markets tumult, now is the time to make sure your portfolio can withstand economic pressures.

PDFWhat's the payback on Connected Decisions?
No. 09, November 2008

Sharing data, analytics and intelligence across the customer lifecycle can produce better decisions and a sustainable competitive advantage.

PDFScoring Your Customers: How often is enough?
No. 08, October 2008

New FICO research shows how consumers' FICO® scores are changing, and what it means for refreshing scores

PDFHow Can Fraud Models Combat New Tricks?
No. 07, September 2008

A "bolt-on" adaptive model layer, which self-learns new fraud patterns, boosts detection by nearly 50% in recent test.

PDFPutting a Wide-Angle Lens on Fraud
No. 06, July 2008

Analyzing merchants and ATMs boosts fraud detection - but will it slow down processing?

PDFManaging Risk in the Credit Crunch
No. 05, June 2008

Read the FICO Insights paper, "Managing Risk in the Credit Crunch"

PDFOptimizing Trade-Offs for Strategic Portfolio Management
No. 04, June 2008

Read the FICO Insights paper, "Optimizing Trade-Offs for Strategic Portfolio Management"

PDFAre Today's Market Pressures Reshaping Credit Risk?
No. 03, May 2008

A new study explores FICO score trends in dynamic times and how lenders can respond

PDFAre You Paying Too Much for Clicks?
No. 02, April 2008

Read the FICO Insights paper, "Closing the Value-Price Gap in PPC Advertising"

PDFInsights Credit Capacity Index white paper
No. 01, February 2008

How much credit can a consumer handle? Will your new loan be the one that pushes a "good" borrower over the edge?