During the Innovation Summit 2020, Herman Peeters and Jakob Færgeman – Principal Consultants at Experian – presented their view on the impact of the pandemic on the credit industry.
Data analyses from the Nordics and Netherlands show an increase in credit applications for eCommerce over late summer and autumn, but also an economic impact in terms of unemployment and bankruptcies. This last one is something to monitor very closely. We see less bankruptcies compared to last year, but the governmental support programs are also supporting companies that were already at risk. A bankruptcy tsunami can in some form be expected in 2021, which makes it even more crucial to understand and monitor your portfolio closely.
But what can you do to get the best possible view on credit risk in this rapidly changing environment?
Having the right monitoring systems in place is essential. Take different data sources and look closely at what other data is available besides your own internal data. A combination of data sources such as internal data, traditional data, non-traditional data and web data help you to predict credit risks better. Learn more by watching the presentation of this session below