Within the next year, Theuer expects the system will be reconfigured to determine the best treatment, for instance indicating which accounts to send out to third-party collectors. In September, Experian released Portfolio Management Package, a customized collections tool for creditors. A post-chargeoff solution now in development is aimed at collections agencies. Future releases will focus on the telecommunications and revolving credit industries. All offer scoring, portfolio segmentation, and decisioning technology.
Time is of the essence.
That intelligence has moved beyond traditional scoring models and automatically prioritizing recovery steps to adaptive control systems, which bring consumer behavior and other attributes into play. Perhaps longest on the adaptive control scene is Fair, Isaac's Triad system, in use for more than 10 years. The system, which counts Bell Atlantic among its more than 100 users worldwide, calculates behavior scores and strategies that are routinely monitored and adjusted according to their ability to reduce the cost of debt. While most large players in the financial services arena use Triad or a similar system, smaller players often lack the capital or the infrastructure to implement such a process. Fair, Isaac is exploring the use of application service provider, or ASP, technology to bring its capabilities to smaller shops.