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Credit scoring: the future of decisioning in the A/R process.

Business Credit

| March 01, 2004 | Wallis, Lyle | COPYRIGHT 2004 National Association of Credit Management. This material is published under license from the publisher through the Gale Group, Farmington Hills, Michigan.  All inquiries regarding rights should be directed to the Gale Group. (Hide copyright information)Copyright

Credit scoring or statistical modeling can be utilized as a method of evaluating the creditworthiness of your customers and assessing the strength and value of your receivable portfolio through the implementation of a formula or set of rules. In fact, statistical modeling can be utilized as a tool that can be applied to many of the components that comprise the entire receivable management process. Testing the creditworthiness of your customer base via credit scoring or a statistical model is by no means a new science, but it is a methodology that has evolved over the last quarter of a century. Today credit scoring is set to become the cornerstone of the receivable ...

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Source: HighBeam Research, Credit scoring: the future of decisioning in the A/R process.

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