COVID-19 is redefining the notion of risk in nearly every facet of the global economy, forcing financial institutions to rethink …
Pause for a moment and take a close look at your loan servicing process. Is it as efficient as it …
Today, community bank lending workflow solutions provide a more sophisticated level of automation.
Many community banks are now evaluating loan servicing platforms from specialist providers to improve efficiency.
Alternative data is helping community banks identify new opportunities and reduce risk.
In our work with community banks, many have voiced the need for greater efficiency in handling high-volume, repetitive loan servicing processes. We’ve identified three compelling reasons why community banks are outsourcing loan servicing.
Loan servicing compliance is one of the most important things community bankers think about when they manage their loan portfolios. Yet providing competitive loans to borrowers and managing them well is only one part of the process. You also must ensure that you’re following all federal and state regulations like the Equal Credit Opportunity Act and the Fair Debt Collection Practices Act.
The community banking industry is abuzz over loan servicing companies. Third-party loan servicing is one of the biggest community banking trends of the decade. The loan servicing software market is a $522.3 million industry and is expected to grow to a $785.6 million industry over the next five years.
Having an efficient back office that essentially runs itself is one of the best ways to stand out in today’s saturated community banking industry.
The main problem is that community banks don’t have as many risk management resources at their disposal as larger federal banks. They’re also less likely to get a generous government bailout if something goes wrong. So community banks need proactive risk management systems that leverage resources they already have.
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