Consumer Credit RiskConsumer credit risk (also referred to as retail credit risk) is the risk of loss due to a customer's default (non-repayment) on a consumer credit product. These products can include a mortgage, unsecured personal loan, credit card, or overdraft. A common method for predicting credit risk is through a credit scorecard. The scorecard is a statistically based model for attributing a score to a customer that indicates the predicted probability that the customer will default. The data used to calculate the score can be from sources such as application forms, credit reference agencies, or products the customer already holds with the lender. Financial Toolbox™ provides tools for creating credit scorecards and performing credit portfolio analysis using scorecards. Risk Management Toolbox includes a Binning Explorer app for automatic or manual binning to streamline the binning phase of credit scorecard development. For more information, see Overview of Binning Explorer.