New TransUnion Bankruptcy Score Provides Greater Predictability to Manage Risk More Effectively and Reduce Losses From Bankruptcy

    TORONTO, Feb. 3 /CNW/ -- In the midst of the credit and financial crises,
Canadian banks and lenders are faced with difficult choices in determining the
likelihood of bankruptcy when granting loans. In helping to address these
risks, TransUnion has announced the new TransUnion Bankruptcy Score, which
when combined with a generic risk score can provide greater management insight
to help protect from bankruptcy losses than any single score.

    According to the Office of the Superintendent of Bankruptcies, consumer
bankruptcies through October 2008 are at their highest rate since 1997's
all-time high. The TransUnion Bankruptcy Score is designed to help businesses
predict the likelihood of a bankruptcy over the next 18 months, enabling more
statistically-sound, objective decisions when it comes to lending and risk.
This solution identifies customers at risk for bankruptcy versus those at risk
for delinquency. Unlike other models used to detect delinquency with joint
account holders or small business owners, the TransUnion Bankruptcy Score
leverages both public-record bankruptcies and tradelines involved in a

    "As financial institutions continuously balance their lending risks and
potential loans, they need a solution built on and that takes into account
today's economic environment and today's consumer's credit habits," said Tom
Higgins, director of Analytic and Decisioning Services at TransUnion. "The
TransUnion Bankruptcy Score offers a comprehensive view into the factors and
likelihood of bankruptcy, providing greater predictability and accuracy for
lenders during these challenging financial times."

    Using a risk score alone may miss many possible bankruptcies, especially
since up to 60 percent of bankruptcies are due to sudden, often unforeseeable
changes in situation such as unemployment, divorce or market losses. By using
TransUnion's bankruptcy and risk scores, businesses can better identify
customers who may be at increased risk of experiencing a bankruptcy despite
having a good risk score.

    To learn more about the TransUnion Bankruptcy Score and how it can be
used to manage risk more effectively, please visit

    About TransUnion

    As a global leader in credit and information management, TransUnion
creates advantages for millions of people around the world by gathering,
analyzing and delivering information. For businesses, TransUnion helps improve
efficiency, manage risk, reduce costs and increase revenue by delivering
comprehensive data and advanced analytics and decisioning. For consumers,
TransUnion provides the tools, resources and education to help manage their
credit health and achieve their financial goals. Through these and other
efforts, TransUnion is working to build stronger economies worldwide. Based in
Toronto, with global headquarters located in Chicago, Illinois, TransUnion
provides local service and support throughout Canada. Visit
to learn more.

    Graphics and/or photographs to accompany this release can be obtained by
members of the media by contacting Cliff O'Neal ( at
312-985-2540 or Dave Blumberg ( at 312-985-3059.


For further information:

For further information: Clifton M. O'Neal of TransUnion,
+1-312-985-2540, Web Site:

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