Jan 07, 2014 Walt Wojciechowski
Credit risk management has been an extremely complex and difficult task for businesses and consumers in the past several years, especially as economic conditions remain turbulent and unpredictable. Although credit risk peaked during the harshest years of the recession, a resurgence in consumer spending and commercial lending, coupled with a drop in various types of delinquencies, has led to more beneficial conditions.
However, credit risk managers must remain vigilant, as the economy can fluctuate erratically at any time.
Reportbuyer.com recently announced the release of a new study titled "2020 Foresight Report: Best Practices in Managing the Credit Risk Cycle," which is meant to help financial decision-makers see more clearly when navigating the current market. According to the firm, credit risk has become even more complicated amid an increase in fraud, especially directed at credit cards and ACH payments.
The researchers argued that more accurate and efficient management of credit risk will only be attained when the payment card industry, as well as other relevant sectors, become more unified in efforts to track fluctuations and trends related to fraud. Business leaders in the financial services sector will have to be especially vigilant in the coming years to avoid financial instability.
The study in its entirety is available for purchase through the Reportbuyer.com website.
Decision-makers should consider taking advantage of more advanced and affordable credit risk management solutions, as vendors are now distributing products that are easy to use. Additionally, companies that do not feel entirely comfortable with the credit risk management process should consider outsourcing the duties to a firm that specialize in the procedures.
Credit risk management is just as crucial to corporate continuity and financial growth as any other process and, as such, should be treated with care.