UT Austin analysis guides banks on consumer debt
Researchers at the University of Texas at Austin have developed a predictive model to help banks decide when to chase consumers who default on their credit card payments — and when to stop pursuing them.
The research, recently published in the journal Management Science, was conducted by Naveed Chehrazi at the McCombs School of Business at UT, Peter Glynn from Stanford University and Thomas Weber from École Polytechnique Fédérale de Lausanne in Switzerland.
It analyzed delinquent credit card user behaviors and developed a way to sort them into categories based on whether they are more or less likely to pay back their overdue debt, according to a news release.
The model can help collection managers identify the right action to take, from contacting the consumer to negotiating a repayment plan to filing a lawsuit. The greater a person’s unpaid debt, the more it makes sense for the bank to spend money recouping that debt. For smaller delinquencies, the cost of pursuit may not be worth it.
Office building on North Loop gets refinanced
The 11-story office building at 1225 North Loop been refinanced via a loan from CUNA Mutual Group, commercial real estate services firm JLL announced.
JLL arranged the 25-year, fixed-rate loan on behalf of the borrower, 1225 North Loop Investments. The amount was not disclosed.
The 200,418-squarefoot building is on 3.1 acres along Loop 610 North, a few miles from the Galleria submarket. Building amenities include the Hightower Deli, a new conference room, 24-hour security and free Wi-Fi.
Michael Johnson, Jett Lucia and Robby Derrick if JLL Capital Markets worked on the deal.