How LoanPro helps lenders drive efficiency with centralized data and processes

Legacy lending software systems can sometimes feel bureaucratic. You approach them with what seems like a simple request, and they respond with all the alacrity of the DMV. The information you were seeking ends up spread out between a half dozen subsystems. The change you requested gets escalated to another team, never to be heard from again. And when requests come to you, they come without much context or even an idea of where you could get more information.

Patrick McKenzie, tech industry writer and advisor to Stripe, recently wrote a piece on Seeing like a Bank, detailing how legacy cores cause these problems. Data gets siloed, each department gets limited visibility, and requests all too often get lost in the stack. It’s not that anyone designed the systems to segment data and create a lousy experience for customers and employees alike—these disjointed systems were built layer by layer, year by year, until the prospect of modernizing the software is almost laughable.

Many lenders stay on legacy software, enduring its shortcomings because they seem preferable to the process of migrating to something better. But switching doesn’t have to be so painful, and there’s a compelling argument for pressing on towards the light at the end of the tunnel. On a modern platform, lenders can centralize their data and processes into a single, coherent system, netting them immediate and tangible results:

• Reducing compliance risk through comprehensive data and reporting tools, alerting you to warning signs before they become problems
• Increasing operational efficiency through process management, automation, and agent support tools from origination to payoff
• Priming your portfolio for growth by streamlining processes and enabling agents to handle more accounts
• Streamlining reporting and security with centralized loan data

Holistic data and reporting

Data visibility is vital for both operational success and compliance, but most systems for managing credit have lackluster tools for accessing, analyzing, and managing your data. Legacy systems might give you pre-built reports, but seldom provide a modern API or ad hoc reporting tool. And while more modern competitors might have APIs, they still lack the configurability that most lenders need.

LoanPro was built with centralized data visibility in mind from day one. Our modern credit platform provides you unfettered, real-time access to all of your data—applications, customers, accounts, transactions, and more. You can view data through UI reports (including both out-of-the-box reports and straightforward tools for ad hoc reporting), our modern API, or through direct access to our database. These options give you flexibility to meet your data needs with the right tool for the job.

Lenders who use LoanPro as their data repository during origination simplify reporting and analytics by keeping information in the same platform from cradle to grave. If you use a BI-layer (e.g., Domo, Tableau, Power BI), we can connect your real-time replicated database to that BI-layer for seamless custom reporting. Customers of LoanPro report an average of 72% decrease in time spent generating reports when moving to LoanPro.

Real-time data in single source of truth

Most legacy solutions will have your data spread out between multiple systems, each with its own level of accessibility and out of sync with each other. But using LoanPro as your ledger simplifies data management across your entire ecosystem, keeping applicant, customer, and account information in a centralized, accessible location. From there, you can easily connect LoanPro’s data to your third-party sources, analytics programs, and other partners, allowing them to draw up-to-the-minute data from LoanPro.

LoanPro’s centralized data management can benefit your entire organization

• During origination, use LoanPro to host data from your application, KYC, and underwriting to streamline your approval process in a centralized data bank
• Effortlessly manage audit trails, transactions, and historical data, bolstering your compliance strategy and taking the stress out of audits
• Leverage real-time customer data to determine which borrowers are the best candidates for new credit products and advancements
• Detect struggling borrowers and offer them hardship programs, preventing defaults and keeping your collections revenues stable
• Automatically discover and highlight potential errors, enabling you to fix them faster

Actionable reports and data

LoanPro’s UI reporting tools turn your data into actionable insights. Reports that identify a list of accounts based on their real-time data can immediately turn that list into an Origination or Servicing Queue, assigning agents to go through the accounts and take appropriate action.

Our Automation Engine further streamlines common origination, servicing, and collections tasks by analyzing real-time data on each individual account, determining which actions are appropriate based on your own custom business logic, and then carrying those actions out automatically—changing labels, adjusting account values, or even sending out personalized communications. Clients using the Automation Engine have empowered their agents to service up to three times as many loans without increasing their headcount. What’s more, automating these actions ensures that your real-world processes align perfectly with your policies and compliance requirements.

Here’s a sampling of LoanPro’s out of the box reports:

Workflows

Legacy systems deliver a mediocre customer experience. As consumers, we’ve all experienced this. You call in asking to make a small adjustment on your account, and after waiting on hold for the first ten minutes, you’re sent over to another office. Another few minutes of hold music, and you’re told that they will “process your request”. But then a few days or even weeks pass, and you don’t hear back. So you call in again, and the cycle is repeated.

Behind the scenes, it’s likely that the lenders’ LMS is missing the tools that they need to manage processes that span multiple steps between multiple individuals. The borrower’s request gets recorded in one place, but isn’t immediately visible to the person who can fulfill it. And when they do get it, they’re likely missing context about the borrower, account, and request, and will need to call the borrower again to gather information before they can actually make any changes.

Modern credit platforms like LoanPro solve this by turning company and compliance policies into efficient real world action. By combining our tools for dynamic account labeling, agent walkthroughs, one-click quick actions, and the Automation Engine, LoanPro creates comprehensive workflows that guide accounts along complex processes.

Here’s how they work:

• Application processing. When a borrower submits an application, LoanPro creates an inactive account and kicks off your origination process, pulling credit scores, performing KYC/OFAC checks, and communicating with your underwriting tool. If your policies approve the account, LoanPro automatically sends the TILA disclosures and contract to the borrower. If you require manual review, it will assign and notify an underwriting agent, who can then use a walkthrough to check the data and make a decision. LoanPro manages your entire origination funnel to ensure you optimize where possible to increase your application-to-funded-loan ratios.
• Hardship programs. LoanPro’s data tools can automatically identify loans that repeatedly struggle to make payments, putting them at risk for default. Then, in line with your business logic, LoanPro can reach out to the borrowers with hardship programs, alternate payment plans, and other helpful tools, with instructions and links to help login and enroll. If the borrower agrees, LoanPro can automatically update their account and payment schedule, keeping them engaged and repaying.
• Account modifications. When a borrower declares bankruptcy, goes active duty in the military, or otherwise requires a change to their account, LoanPro can track the account through each step of the process. The system can request documentation, notify compliance teams, and send out required disclosures, keeping the account compliant with federal and state lending regulations.

We’ve built out these workflows for hundreds of our customers, and LoanPro comes out of the box with pre-built processes based in compliance research and business best practices. You’re also free to modify any workflow through configurable, no-code editing and with the assistance of dedicated specialists.

Level up your credit platform today

LoanPro’s holistic data tools, robust reporting suite, and comprehensive workflows empower lenders to launch and grow their credit products. We’ve migrated nearly seven hundred lenders, banks, and other financial institutions from legacy software, and proved time and time again that LoanPro’s modern credit platform outperforms its competitors. Get started with LoanPro today and see the benefits of reduced risk, increased efficiency, and a portfolio primed for growth.

It’s rare to find a company with an amazing product and team who also cares deeply about pushing the boundaries of innovation together with their customers. That company is LoanPro.

John Cain, Loot