New Solutions To The Online Lending Challenge

In a few short years online lending has taken the banking industry by storm, bringing with it the promise of a more efficient and profitable loan process for financial institutions, while changing consumer expectations that can be impossible to meet without the right back office systems in place. With more and more consumers applying online, the immediate future of online lending is bright, but requires sufficient technology and an integrated business strategy to deliver on its promise.

Static online applications are now commonplace in the banking world, often put in place as a defensive strategy to answer consumer demand. While they may appear to be current technology, stand-alone products that are not part of an integrated lending platform can create more problems than they solve, proving frustrating for institutions and consumers alike. For instance, static online applications may not be effective in capturing compliance-related data at the time of application. In addition, static applications do not return an immediate decision to the consumer, thus often losing the loan origination opportunity to a competitor.

Online lending success requires institutions to rethink their way of doing business from the ground up, putting in place new business processes. If increased volume is not supported by an efficient, integrated system for decisioning, fulfillment and funding within a short 24 hours of data capture, the effort to get technologically up-to-speed can backfire for the lender who risks losing the loan and the customer. Connecting web applications to an automated interface in the back office is a critical step in accommodating the increased loan transaction volume an online presence can generate. Outdated online systems requiring captured data to be re-keyed into and processed in the old origination system frequently result in overwhelmed employees and unhappy customers.

This year outsourced Internet Banking technology leader Digital Insight® released a browser-based loan origination system that represents a leap forward in online lending technology. The AXIS® Lender platform integrates the loan origination process with GUI interfaces across multiple entry points, integrates with automated work flow for back office efficiencies and is self-configurable by the institution via an online management console. Self-configuration allows managers to administer the application without IT support, updating rates, products and loan types easily through the management console. The customer’s experience is further enhanced due to the ability of the system to authenticate behind the PIN for Internet Banking customers and allow for pre-populated fields directly from their host system. 

Digital Insight is now offering ExpressLender, a version of the same product, free to its online banking customers. ExpressLender offers institutions the opportunity to get into Internet lending at no cost — increasing loan application volume, attracting more online users, increasing retention of current online users and strengthening their brand, with no additional capital investment. End users benefit from timesaving convenience and current security technology.

ExpressLender is powered by the same robust loan origination engine for data capture on the web as AXIS Lender, without the decisioning or credit bureau which can be added at a later time. ExpressLender is secure, with data submitted via 128-bit SMIME-encrypted email. Like AXIS Lender, ExpressLender offers users the speed and simplicity of dynamic paging, automatically triggered and presented to the applied applicant based on product, policies and/or regulations. Both AXIS Lender and ExpressLender versions convert HTML into Word documents, and vice-versa, for legal department document generation. No re-keying means data integrity is kept intact. 

“We’re offering ExpressLender as a ‘thank you’ to our installed base of Internet Banking clients and bundled with new software,” said Bob Surridge, SVP and General Manager of Digital Insight’s lending division. “ExpressLender is a great replacement for static applications, and will enable us to work with our strategic partners to track their online activity and determine where they can best invest their technology dollars. If their online volume is high, they will want to look into a browser-based LOS, but if not, we can help them define a growth strategy for their lending platform.”

Bob Surridge
Senior Vice President of Lending Division
Digital Insight
http://www.digitalinsight.com

888-344-4674