Risk Management Technologies said First USA Inc. and Advanta Corp. have installed its Radar RiskManager, a software tool using dynamic forecasting and valuation methodologies.
Both of the top-10 credit card issuers plan to use RiskManager in assessing risk exposure and profitability.
First USA and Advanta have also purchased RMT Genesis, a tool for building a repository of customer account data from a variety of sources for input into RiskManager. The information can then be used to analyze current positions, run simulations based on different rate and marketing scenarios, and forecast performance and profitability trends.
The demand for such analysis is up because of "changes in products and product mixes, volatility in the marketplace, and changes in customer behavior," said Jeff Dandridge, RMT vice president, client delivery.
First USA has completed installation and expects to have the system in full production by the end of the first quarter. Advanta is installing the system.
They join other major RMT clients such as Chase Manhattan Bank, First Union Corp., Wachovia Corp., and Wells Fargo & Co.