How automation improves the lending process

In today’s competitive lending market, firms are looking for ways to offer services efficiently as well as improve their profit margins.  By using automation tools, lending firms can improve business process efficiencies and offer more loans and better customer service. Today automation is pushing the boundaries of technology by implementing machine to optimise almost every process from loan processing to better customer relationship

Automation improves the lending process in the following ways:

  1. Removes paper from the process: The manual   paper work is a time   consuming process which makes the customers  wait for  long   time depending on the terms of the loan.
  2. Reduces the cost of loan processing: Automating the loan process reduces the cost of loan officer and business banker time inputting financial information and the cost of training and hiring up needed to service loans. For the borrower, utilizing software that integrates with the most popular accounting programs saves time and money.
  3. Improves accuracy: Calculation  and analysis will be accurate  when automating the loan process
  4. Optimizes all operation : With outdated systems, borrowers were unable to track and analyse past loans and credit line information. Now with fully optimized processes, users can access and check their credit details online.
  5. Better customer service: When all the loan process are automated and streamlined, banks will have more time  to  build strong relationship with customers

Financial institutions are increasingly turning to customer-facing software programs to automate the lending process

At Insight Consultants, we specialise in digitizing the lending ecosystem. From general to specialised, prime to sub-prime, we have helped organization evaluate data structures and availability, free up information from siloed systems, and identify the richest areas for machine-fuelled insight and improvement.

Contact Us to  know how we can help  you automating  your loan cycle.

Digitization, a big revolution in the lending process

Modern lending systems are all about providing access to funds anytime, anywhere, for customers who are increasingly tech savvy. These empowered customers have no patience for the mounds of paperwork and lengthy processes that was the hallmark of traditional lending.

In person meetings, lengthy application forms, detailed reference checks, physical signatures etc. are all being junked in favour of a seamlessly integrated, fully on-line process that is not only faster, but more secure and compliant than anything the industry has witnessed till date.

“DIGITAL CHANNELS FULFILL THE CUSTOMERS’ NEED FOR CONVENIENCE AND CONTINUOUS AVAILABILITY, WHILE AT THE SAME TIME OFFERING LENDING FIRMS NEW OPPORTUNITIES FOR GROWTH.”

 

Digital transition: Implications for lenders

Transitioning to a fully digital lending firm is not always easy. Lack of robust software solutions, concerns over compatibility of new systems with legacy systems, costs of transformation, regulatory compliance, and management and budget restrictions have all deterred firms from digitizing the lending process.

Digitization makes multiple demands on firms like:

  • User Centric Design
  • Data Driven Decision Making
  • Flexible Infrastructure
  • Organizational Agility

No pain, no gain

While these demands might look intimidating, the benefits, once digitization is properly implemented, are huge. Not only will it give a distinct competitive advantage to the firm in a cluttered marketplace where quality borrowers are spoilt for choice, but also have a disproportionately positive impact on its bottom line.

Digitization can offer immense benefit to lenders in multiple areas

  • Reduce lead to disbursement lag
  • Better utilization of loan officer’s time
  • Fraud reduction
  • Relevant, simple and easily bought offers
  • Better decision-making, utilizing customer risk and marketing data
  • Consistent cross-channel execution
  • Better understanding of the customer and his behaviour
  • Paperless processes
  • Zero compliance slip-ups
  • Any-time, anywhere service

The future is here and now

Any lending firm that does not digitize immediately risks falling by the way side. Even as we speak, newer technology like Artificial Intelligence, and Blockchain, the technology that underpins cryptocurrencies currently, is further revolutionizing the space. More importantly, borrowers have actively started demanding many of the benefits afforded by digitization. It is no longer a question of whether to digitize or not, but how fast a firm can digitize and keep pace with the changing demands of its customers.

How Insight Consultants can help

Insight Consultants specialises in digitizing the lending ecosystem. From general to specialised, prime to sub-prime, we have helped firms operating across the lending landscape reap the benefits of digitization. We offer end-to-end lending solutions with digital loan origination platform, credit assessment engine, business process automation and complete loan cycle management systems. We will help you transition from an offline way of working to a digitally streamlined one that include paperless operations, workflow-based automated decision-making, and credit scoring powered with insightful analytics.

Reach Us to know  how  digitization can revolutionize lending.