Credit risk is most simply defined as the potential that a bank borrower or counterparty will fail to meet its obligations in accordance with agreed terms. Sound practices and tools for Credit Risk Management are essential to the long-term success of banking organizations and financial services providers.
But what are the challenges associated with IT systems implementing models, tools and processes used for credit risk management?
Data silos: If data is not easily accessible around the clock, credit risk reporting may be hindered by problematic delays.
Lack of flexibility: If updates to existing risk models and tools are tedious and costly, banks risk using outdated models and systems that do not reflect the current risk appetite of its organization.
Difficult reporting: If credit risk data is spread across numerous individual spreadsheets, risk aggregation, consolidation and reporting become extremely time consuming and error prone tasks
Lack of automation: Credit assessment and origination workflows are mission-critical, but also time intensive processes. A lack of automation decreases operational efficiency and increase costs.
Compliance regulations: The depth, breadth and inter-connectedness of regulatory requirements have increased dramatically. Now, more than ever, organizations require technologies that help them to fulfill regulatory requirements, and at the same streamline processes and speed lending decisions.
The ACTICO Credit Risk Management Platform helps your organization overcome these challenges. The system provides a highly flexible, enterprise-level credit risk management framework that automates counterparty risk assessment and credit origination processes in banks, financial service providers and corporations, including but not limited to: