How to Generate Credit Risk Scores in NetSuite

📌 Assessing customer credit risk in real-time helps finance teams prioritize collections, prevent bad debt, and manage exposure. Oracle NetSuite allows you to define a scoring model, calculate scores using historical and behavioral data, and surface these insights directly on your AR dashboard.

Steps to Generate Credit Risk Scores 

Step 1: Define Your Credit Scoring Model

Start by identifying key data points such as payment history, credit limit usage, days past due, and external credit scores. Assign weights to each metric (e.g., Days Past Due – 30%, Credit Usage – 20%) and define risk ranges (e.g., >80% usage = high risk).

Use Customization > Lists, Records, & Fields > Record Types to create a custom scoring model. Add fields for each metric and build logic to convert ranges into numeric scores.

Step 2: Apply the Model to Customer Records

Navigate to Lists > Relationships > Customers, edit a customer record, and include custom fields for each score component. Use workflows via Customization > Workflow > Workflows > New to automatically calculate a credit risk score using formulas based on your model.

Step 3: Display Scores on the AR Dashboard

Create a Saved Search by going to Lists > Saved Searches > New > Customer and add the credit risk score as a column. Then, head to your AR dashboard through Home > Dashboard > Personalize, and add a Custom Portlet to display this Saved Search.

This setup enables your team to instantly filter and sort customers by risk level directly from the dashboard.

Example in Action

Say your model weights are:

• Days Past Due: 30%
  
  
• Credit Limit Usage: 20%
  
  
• Payment Terms and Credit Score: 50%
  

If a customer frequently pays 45 days late and uses 85% of their credit line, they may receive a score of 70, flagged as high risk on the dashboard.

Pro Tip: Growfin enhances this by automatically scoring accounts in real time, detecting anomalies, and flagging high-risk customers even when they haven’t crossed hard thresholds, ensuring your collectors can act before risk turns into loss.

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