By Brandi Hamilton
Once a member hits submit on an application, the timer starts. When members don’t receive a timely decision, or if more information is requested, the member may move on.
Automation has revolutionized how successful credit unions now conduct business, especially when it comes to leveraging the right data efficiently for lending decisions. Credit unions can leverage important data at every stage of the lending process to bolster the member experience. Applying automated verifications, such as verification of income and employment (VOIE), is necessary to achieve a more consistent, faster, and better-informed loan decisioning process.
Credit unions hold the power to meet member expectations for quick lending decisions, and it all starts with automated workflows and alternative data. Digital workflows and alternative data help credit unions:
Retrieve VOIE data through an automated workflow during the application process, which is vital to remaining competitive in today's lending landscape;
Support built-in decisioning criteria to create a financial sphere where every loan decision is seamlessly backed by data - potentially reducing cost, labor, errors, and oversights
Transfer data safer and faster by removing paper-based processes that could lead to additional friction, such as the potential for inflated stated borrower income
Ryan Coleman was able to expand on the importance of utilizing data, automating workflows, faster transaction times and how FIs can leverage automated VOIE during the application process in this Finopotamus article.