CAPITAL Corporate News

CAPITAL Partners with THMG, Ltd. to Launch New Credit Scoring Model for Card Issuers
May 27, 2004

SIOUX FALLS, SD, – CAPITAL Card Services (CAPITAL), a leader in card outsourcing solutions today announced that it has partnered with THMG, Ltd. (THMG), an analytical services and CRM consulting firm to jointly develop a custom underwriting scorecard for its card issuing clients. The new model, CAPScore was designed to identify profitable prospect segments while accounting for attendant risk profiles.

“We are excited to offer this custom scorecard solution to our clients as the first of many models developed to improve portfolio profitability,” said Molly Fleming, executive vice-president and risk management officer for CAPITAL. “Coupling our risk expertise with THMG’s comprehensive knowledge of model development methods allows us to create tools for our clients to improve their cardholder selection efforts."

CAPScore provides a suite of powerful components - one for determining those prospects most likely to respond, one for measuring respondents’ propensity for retaining the card product being offered, and one for establishing the associated risk in lending to each prospect. The combination of these components ensure superior decisioning capabilities to assist clients in achieving their targeted ROI objectives.

"We recognize the benefits of a cooperative approach to this project and have been impressed by the card industry knowledge that CAPITAL brings. We were eager to join at the ground level," said Jonathan Hill, THMG Principal. "We’re excited to begin testing the model and look forward to seeing positive results."

CAPITAL intends to deploy the model next month and anticipates it clients will see an immediate lift in account performance.


About THMG, LTD
THMG is an analytical services and CRM consulting firm focused on the financial services sector. Founded in 1998, THMG serves a variety of clients in the banking, card, insurance, and brokerage industries.