Santander Cards has signed a three-year deal with credit reference agency Callcredit in a bid to improve the lender's risk assessments of customers.

The credit card firm will make use of three risk information products, including a tool that gives the lender a better understanding of what customers can afford to pay based on their current commitments and income, and a product which alerts the lender to changes in a customer’s financial situation.

The deal, which will cover the lender’s entire UK portfolio, follows a partnership between Santander Cards and Callcredit going back to 2008.

Sean Pape, head of risk at Santander Cards, said: "In-depth analysis has shown the considerable return on investment that this deal will deliver to Santander, reducing credit loss and supporting our responsible lending position."