Credit scoring definition

Credit scoring means the practice of quantifying the credit risk a person presents using the person's history, characteristics, or attributes in a formula designed to objectively rate credit risk or insurance risk of loss.
Credit scoring means a system which enables a credit institution to assess the credit worthiness and capacity of a borrower to repay his loan and advances and discharge his other obligations in respect of credit facility availed or to be availed by him;
Credit scoring means the practice of quantifying the

Examples of Credit scoring in a sentence

  • Credit scoring is based on real data and statistics, so it treats all applicants objectively.

  • Credit scoring applies statistical analysis to publicly available data and customer-provided data to assess the likelihood of an account going into arrears.

  • Credit scoring takes into account information provided directly by you, any information we may hold about you, and any information we may obtain from other organisations.

  • Credit scoring uses a number of factors to work out risks involved in any application.

  • Credit scoring models and other mechanical procedures are permissible as the primary or partial basis of rating assignments, and may play a role in the estimation of loss characteristics.


More Definitions of Credit scoring

Credit scoring means the service of providing a numeric value, based on a statistical analysis of a borrower’s credit information and data, to represent the creditworthiness of that borrower.
Credit scoring means a statistical analysis with the goal of estimating the probability of a data subject fulfilling its financial obligations related to the extension of credit;
Credit scoring shall have the meaning set forth in Section 3.3.
Credit scoring means a system whereby points are awarded to debtors enabling users to asses the credit worthiness and capacity of debtors to repay loans and advances and to discharge any and all other obligations with regard to credit facility availed of or to be availed of by the debtors;
Credit scoring. 4 means the probability indicator of the repayment produced by using statistical method in the Information Processing by the Credit Information Company.
Credit scoring means a statistical formula that is used, usually with the help of computers, to estimate future performance of prospective borrowers and existing consumers;
Credit scoring means the service of providing a numerical value, based on a statistical analysis of a customer, consumer, or applicant’s credit file, to represent the credit worthiness of that borrower class.