Secure Trust Bank was the first UK lender to complete live deployment of credit application models built using Archetype, the proprietary ‘explainable’ AI-driven software of credit scoring and AI experts, Jaywing. The Archetype software generated a significant uplift in predictive power compared to a traditional linear model and is projected to provide substantial reductions in bad debt over the course of its deployment.
As part of a three-year engagement, Jaywing has since implemented predicative models on a further 2 portfolios and have been involved in regular monitoring and calibration to ensure the models are always optimised. It enables Secure Trust Bank to fully realise the benefits of neural net-based modelling. Archetype generates significant performance improvements using a technique that ensures that the data used within the model fully adheres to the lender’s governance rules – just as their previous scorecards did.
Like most UK lenders, Secure Trust Bank has taken a close interest in the potential for neural networks to deliver double-digit improvements in risk model performance. However, the lender was mindful of the FCA’s guidance that such models need to be based on sufficient interpretability. Our software offers complete control over the data that is used by the model, and the way in which changes in the data impact the resulting score.
With a full suite of in-depth reporting to explain how the resulting model performs, Archetype generates easily implementable models which can be deployed through any modern decision system, either by automated code generation or the use of an API.
Jaywing are involved in regular model monitoring of the AI-based models; Secure Trust also have access to the Archetype platform and can use it to generate further models of their own when required.
“The performance improvements that Archetype has generated are significant, and we are impressed by Jaywing’s ability to deliver this performance through a fully controlled model. The in-depth model reporting gave us total confidence that the models are fully reliable and have the stability and robustness that we expect."
Mike Abraham, Group Head of Consumer Credit Risk at Secure Trust Bank