Who Will Own the Marketplace During and After the 2020 Crisis: Lending Market Predictions
Even without the global health pandemic and economic crisis, 2020 was set to be a dynamic year for the financial industry. Fintech and digital lending were quickly pushing out some of the traditional financial services and products but the process wasn’t yet disruptive. Now, with the new reality kicking in faster than ever before, all […]
How to Process Loan Applications and Approve More Loans Faster
Consumers choose speed and convenience over price, even when it comes to their finances. That’s why successful lenders strive to deliver instant approvals, and 1-day funds transfers. They’re training borrowers to expect quick action with every application. Can your lending operation approve loans at warp speed, without sacrificing credit quality?
New Payday Rules – New Era for Savvy Lenders
One of the oldest and to this day most popular lending models, payday lending, faces some new twists and turns in the years to come as the legislators, and the courts continue to sort out the new payday rules.Â
How Much It Costs to Digitalize a Lending Business
To get into the real lending game thirty years ago, one needed immense resources. And not just loads of cash available for crediting, but also money for opening and maintaining offices and branches, originators, servicing managers, underwriters, collectors, analysts, etc.
How Can Your Lending Business Benefit from Open Banking – From the Basics to Specifics
Open banking has turned financial services upside-down and inside-out. These data-driven programs cater to consumer needs and wants, instead of pushing out prepackaged products and services. What started as a regulatory directive in the UK has opened up a whole new world of opportunity for consumers and innovative lenders.
Borrower Identification in Lending – All the Things You Should Pay Attention to
Proper borrower identification is a crucial part of any lending operation’s customer due diligence. No matter the jurisdiction, taking care of borrower identification safely and accurately will have an enormous impact on regulatory compliance as well as the overall portfolio health.
How to Launch a Peer-to-Peer Lending Operation – 6 Critical Components
P2P lending isn’t a trend. It’s an entirely new delivery vehicle that’s here to stay. Borrowers have already pushed peer-to-peer loan volume close to the $1 trillion mark, but launching an infrastructure that supports investor/borrower matching can still be a complex undertaking. Alternative and digital lenders who understand online origination and payments processing are the […]
One Day Funding – The New Norm in Digital Lending (How to Adjust)
Consumers don’t love technology. They love the speed and convenience that technology delivers. Digital lenders who capture the lion’s share of new loans in today’s fiercely competitive marketplace, do so by minimizing a metric called time-to-funding. They regularly grant access-to-funds within 24 hours after the applicant clicks the submit button. Is your lending infrastructure up […]
Why Scoring Model Is What Makes or Breaks a Lending Business
No credit scoring model will be able to tell you with a 100% certainty whether a borrower will return the funds or not. But for the lack of a better system, lenders rely on the existing models, use alternative ones, a combination of the two or develop their own, proprietary algorithms. The reliability and accuracy […]
Onboarding for Alternative Lenders Is Like a First Date, It Pays to Get It Right
Your primary goal as an alternative lender is to maximize portfolio profits, and the first critical step in the process is onboarding. It’s like a first date. It sets the stage for the entire relationship. You can use automation software to gain process efficiencies, but it takes enthusiasm and creativity to truly engage the new […]
Why a Monolithic Enterprise Solution Is the Right Way to Go for Your Lending Operation
The global digitalization is defined by the all-consuming drive to agility and quick solutions’ delivery. Companies recognize the need for wholesome automation for them to stay on the market, yet there’s still no definitive answer on whether it’s better to use monolithic or microservices architecture for a project. And the fact is that it depends.
How Millennials Choose Financial Products: A Guide for Lenders
Lenders are on a constant lookout for new demographics and audiences to convert into customers. And millennials aren’t just tech-savvy kids anymore. These are the people born between 1981 and 1996. So now they are somewhere between 22 and 38 years old and most of them are already operating on the lending market.
