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Credit Decision Strategy

Do you have one?

If you already have a process for credit decisions, great! If you’re looking at buying a loan origination software platform for the first time, you may want to consider what options are available to you. There are a variety of basic credit decision processes that may help you get started. Some LOS vendors may have a system for an automated process. For example, the FNI Strategy Engine allows our customers to have a full automated, semi-automated, or manual decisioning process. This process may come down to elements such as the size of your team, the type of purchase, and the level of required compliance. Consider these factors when developing a strategy that will output a decision that you’ll be confident in, every time.

Loan Origination Product Selection

What products will you require credit decisions for?

This might seem like a no-brainer, but you may have a product segment that is better suited for financing, while others may not be. It might be more efficient to ask, “What products will not require credit decisions?” For example, an auto dealer would want to provide credit decisions for vehicles, and possibly even warranties, but items in the service department might be excluded from this line-up. Keep in mind, a simple loan origination process is the most likely path to revenue. Any way that this process can be made simpler for a potential buyer is almost always the right direction.

Third Party Loan Origination Data Services

Do you have specific third party data requirements?

Industries such as unsecured finance and banking will often pull data from common consumer data bureaus, while some industries require more specific types of consumer data. For example, in the automotive industry, integrating with modern consumer data sources like NADA, Black Book, and more will ultimately provide a powerful credit decisioning process. If you have specific data requirements, consider working with a loan origination software partner that has experience integrating with the necessary consumer data partners.

Bonus:

Don’t forget about ongoing service and support.

If you are truly looking for a loan origination software platform that will grow along with your business, you’ll need a team of experts to consult through enhancements, security patches, and more. Make sure to take into account the level of service you may need after the initial product implementation phase.

If you’re looking for a true loan origination software partner, FNI specializes in building efficient and secure software with a commitment to ongoing support. Request a demo for a look at how we’ve been building and adapting within loan origination for over 30 years.