Borrowers in Hardship Jumped in April
Imani Moise, in a recent article on reuters.com, writes, “The number of U.S. borrowers seeking help on mortgages, credit cards and auto loans jumped between March and April in the economic fallout from the coronavirus pandemic, a TransUnion (TRU.N) study released on Wednesday showed.”
Credit unions will no doubt see increased default rates among their borrowers. Having tools in place that provide early warnings of borrowers who may be problematic are very important.
TCT’s Credit Migration tool assures loan risk is managed appropriately by reporting those borrowers who are showing signs of possible loan default long before those borrowers show up on delinquency reports.