Navigating the evolving commercial credit landscape
How lenders can win the data management game
Introducing Echelon, Jaywing’s new commercial scoring product
24 October 2017
We are delighted to announce the launch of Echelon, Jaywing’s new risk technology product for commercial lenders that enables firms to process commercial credit risk applications faster and with greater consistency, while gathering and storing data to enable a cycle of continuous improvement.
Commercial lending processes are often time-consuming, inconsistent and frustrating for all involved. There are growing opportunities for commercial lenders to start to use more data in risk assessments, and at the same time, there is increasing regulatory pressure to do so. That’s why now more than ever, commercial lenders require tools that enable them to accurately and confidently assess risk at the point of application. Echelon is the perfect solution to this problem, enabling business lenders to deploy a consistent and highly predictive assessment process across their organisation, without introducing onerous processes or significant IT change.
What is Echelon?
Using a ‘slotting’ approach to risk assessment, Echelon assigns a configurable Probability of Default (PD) band (as well as other score types, as required in the decision process, for example, Loss Given Default) based on underlying scores that can also be configured to reflect the information lenders want to capture. The system keeps track of the scorecards in place over time, ensuring clients always have a record of the data that was captured, together with the scores and the risk bandings that were in force at the time.
Echelon enables clients to apply consistent lending criteria to commercial applications, in an environment where assessment has typically been judgmental. By using Echelon, lenders can make better decisions, create an audit trail of how those decisions were made and generate valuable data for use in model building and calibration. Furthermore, Echelon can help the forward-looking commercial lender improve their ability to predict bad debt while meeting operational and regulatory objectives.
- Simple to configure system that is hosted by Jaywing but configured to a lender’s specification
- Define your own scorecards, based on information you capture within your own processes, with optional support from Jaywing experts to help you
- Define your own appetite for risk, setting up risk bands that are used to categorise applications and other review processes
- Echelon’s simple, intuitive interface and storage capabilities will help improve customer relationships and enable faster, fairer decisions.
- Provides flexibility to amend scores and product mixes, as well as incorporate new data sources as they become available.
- Designed to improve lenders’ ability to predict high-risk applications quickly and efficiently.
Echelon allows lenders to optimise workflow, increase productivity and bring greater transparency to commercial lending. Jaywing’s cost-effective platform, coupled with the team’s deep technical knowledge and credit risk experience, perfectly positions Jaywing to tackle this market opportunity.
How do I get set-up?
Accessed by a secure web-based system, Echelon is available for a one-off implementation cost and an ongoing licence fee to cover hosting and support. Jaywing’s consultants will be on hand to advise on set-up, and the development of appropriate scorecards to aid the allocation of risk scores.
Jaywing combines traditional analytical and data science expertise with today’s cutting-edge AI risk technology to clients including Nationwide Building Society, Coventry Building Society, and Everyday Loans. In addition to supplying advanced risk technology, Jaywing’s experts offer specialist commercial credit consulting services.