EGAR Credit Administration is the analysis of turnovers on checking accounts of borrowers

EGAR Technology company together with JSC Baltic Bank completed the project on implementation of new system module of EGAR Credit Administration intended for the analysis, monitoring and control of payments of the companies clients credited by bank. This project became the next improvement of a system risk management of the Baltic bank which is constructed according to the recommendations of Basel II Advanced Approach.

The new system module of EGAR Credit Administration allows to carry out the comprehensive analysis and cleaning of turnovers both on the certain client, and on all group of the companies credited by bank. The functionality of calculation of an overdraft limit and control of level of turnovers of the borrower in accordance with the terms of agreements is added. Besides, turnovers of the borrower will be considered at assessment of his financial status, calculation of expected losses and a reserve according to requirements of the Central Bank of the Russian Federation.

Maxim Mosunov, the Executive Vice president of the Baltic Bank, notes: "The Baltic bank traditionally pays much attention to questions of risk management and uses the most modern methods and tools in this area. The volume of the cleaned turnovers of customer organization is the most dynamic indicator of solvency and loyalty of the borrower. Unlike the financial or qualitative indexes updated usually not more often than quarterly, payments of the client are sensitive risk factor, information on which changes on a daily basis. Thus, being based on the reliable data which are available in the bank becomes possible to timely pay attention and more precisely to define change of a financial status of our clients".

Gogul Alexander, the director of business development of EGAR Technology, adds: "Effective cooperation of EGAR Technology and JSC Baltic Bank continues more than five years. We are glad that we can support our partners in their development and timely offer new opportunities for practice improvement risk management".

The solution EGAR Credit Administration in JSC Baltic Bank provides support of different business processes of crediting taking into account type of clients and also storage of client data. An important role in a system is played by analytical modules. In them assessment of solvency of borrowers, their internal rating, calculation of portfolio characteristics, determination of reasonable value of a reserve on possible losses on loans in full accordance with the Russian regulatory requirements is made.