Publications
Publications
- July 2007 (Revised May 2008)
- HBS Case Collection
Central Bank: The ChexSystemsSM QualiFile® Decision
By: Dennis Campbell, Francisco de Asis Martinez-Jerez, Peter Tufano and Emily McClintock
Abstract
The "Central Bank" series analyzes the use of information and product design for managing the counterparty risk of newly acquired customers. Central Bank, a mid-sized regional U.S. bank, was attempting to grow its customer base by increasing the number of new checking accounts. Like many banks, Central saw checking accounts as an important tool for customer acquisition and loyalty-building. However, the bank realized that the aggressive pursuit of new accounts could result in an increased number of overdrafts and, ultimately, customer defaults. The first case, "Central Bank: The ChexSystems(SM) QualiFile(R) Decision," analyzes how QualiFile, a debit scoring product commercialized by ChexSystems, can be used to manage this risk.
Keywords
Central Banking; Knowledge Management; Customer Satisfaction; Risk Management; Risk and Uncertainty; Decision Making; Banking Industry; United States
Citation
Campbell, Dennis, Francisco de Asis Martinez-Jerez, Peter Tufano, and Emily McClintock. "Central Bank: The ChexSystemsSM QualiFile® Decision." Harvard Business School Case 208-029, July 2007. (Revised May 2008.)