ZACC Risk Descriptions

A+   This person is risk free with extreme stability and virtually perfect credit.  Whatever financial arrangement this person makes will be kept.  There is no identifiable chance of financial loss as a result of a financial relationship with this person.

A    This person also has perfect credit and is in a stable personal situation but is somewhat less stable than the 1/A+ customer.  The risk of loss is low enough to be considered insignificant.

A-   This person has some minor issues with stability and/or with his/her credit record.  The risk of financial loss with this person is low, certainly less than 10%.  It is possible some collection activity will be necessary from time to time but there is little chance of any serious delinquency.

B+   This customer has moderate issues with stability and/or with his/her credit record.  There may be minor amounts of delinquency on the credit report.  While this person may not always pay right on time and some collection activity may well be necessary from time to time, there is a less than 10% chance of financial loss.

B    This person is either in a personally unstable situation or has moderate levels of delinquency on their personal credit report.  Both may exist.  The risk of loss is probably close to 20% and there is a reasonable probability that collection activity will be necessary to keep this account under control.

B-   This person is either in an extremely unstable personal situation or has serious credit problems.  Quite often, both situations exist simultaneously.  This person will require a good bit of work to keep under control and there is a 30%-40% risk of financial loss.

C    This person is in serious trouble with respect to credit, or may be unemployed.  The risk of loss with this patient is high – greater than 50%