RMA and Finastra improve commercial banking risk assessment through dual risk rating

21 April 2021

Finastra adds RMA Dual Risk Rating scorecard capabilities to the Fusion CreditQuest commercial lending solution

The Risk Management Association (RMA) and Finastra today announced a strategic initiative to advance commercial banking risk rating frameworks for US financial institutions. Through this partnership, RMA Dual Risk Rating scorecards will be available through – and fully integrated with – Finastra’s Fusion CreditQuest commercial lending platform.

“Given the role of small and mid-sized enterprises in upholding our economy, it is more critical than ever to ensure SMEs have access to lending – and that the commercial banks serving them implement RMA Dual Risk Rating scorecards to effectively assess their borrowing ability,” said RMA president and CEO Nancy Foster. “We are proud to provide the financial services industry with a cost-effective tool to improve commercial loan risk rating consistency and objectivity, and excited to offer Fusion CreditQuest clients access to our expert judgment-based risk rating scorecards.”

“Today many financial institutions use a single rating matrix to analyze the creditworthiness and ability of a borrower to repay a loan,” said Vonda George, Director, lending territory head, Finastra. “Regulatory guidance suggests using both objective and subjective factors to assess the risk posed by a borrower's expected performance as well as the transaction structure. By integrating RMA Dual Risk Rating scorecards into Fusion CreditQuest, we are bringing our clients a superior way to analyze risk and assure a favorable outcome.”

Fusion CreditQuest is an end-to-end commercial loan origination solution that streamlines portfolio management, underwriting, and reporting. Customers who use RMA’s flexible Dual Risk Rating software will enjoy full integration of RMA’s scorecards with the Fusion CreditQuest platform.

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