What is a Loan Origination System?

Loan origination is at the core of any lending business. As we move further into the digital age, customers expect better service and faster outcomes. This means moving away from outdated paper-based lending processes to streamlined online workflows. So what is a loan origination system, how does it work, and how can it help your business? Find out below.

What is a loan origination system?

An loan origination system (LOS) is all about making the lending process smoother, from start to finish. It enables you to create a better experience for both your team and your customers. From the initial application submission to the final disbursement of funds, an LOS streamlines and automates the entire lending lifecycle.

Make life easier with Biz Core’s complete loan management software today.

How does a loan origination system work?

A LOS works by helping you to manage the complexities associated with regulatory compliance, risk assessment, and operational efficiency. Instead of dealing with the slow and cumbersome paper-based lending process, you use a cloud-based system to manage your loan book. From processing applications, to lead tracking, to data visualisation, tasks that used to take hours can be done in a matter of minutes.

Loan origination system benefits

Loan origination software should make life easier for lenders, their staff, and their customers. Whether you have a large lending business or small one, an LOS will help to:

• Ditch outdated paper-based models for scalable online software
• Improve loan processing speed and efficiency
• Increase customer satisfaction and create a positive borrowing experience
• Reduce errors & make more accurate lending decisions
• Improve regulatory compliance
• Save time and money through automation

A complete loan origination system should alleviate the pain points you experience with your current system. Unlike large corporations, a local business, like Biz Core, is able to adapt to the changing market and meet our client’s needs.

Contact us to find out how we can help your business today.

Key features of loan origination systems in Australia

An end-to-end loan origination system will have features to suit each stage of the loan lifecycle. Some of the key features of using an LOS include:

Application processing

A complete loan origination solution will make application processing faster and more efficient. Borrowers can submit everything electronically, without having to visit a physical office to get financed. Lenders can collect bank statements, conduct credit checks, and calculate affordability all through a 100% online process. You can even send automatic reminders to customers with incomplete applications. All that means faster onboarding for your team, which makes for happier customers.

Compliance management

Loan management software helps lenders adhere to industry-specific compliance requirements. You can check your records online at any time and store all your documents in a central digital location, keeping things simple and easy to access during audits.

Every country has its own regulatory guidelines when it comes to the finance industry. But since Biz Core was built to service Australian and New Zealand clients, we understand the unique requirements of local businesses. With us, you’ll have access to Aussie support and a platform built to make your regulatory compliance easy from the get-go.

Workflow automation

Think about how much time you and your team spend on your current workflow. You can save all that time and more by automating all those processes and manual interventions with an LOS. For example, you can set pre-approval conditions, send automatic reminders to customers, streamline approval processes, and schedule automatic payment collections. That gives your team more time to focus on the things that matter, like attracting new customers or keeping your existing ones happy.

Communication and customer interactions

Make communication through various channels simpler with automated emails and text messages. From payment reminders to updates and notifications on applications, a LOS can handle each stage of communication and keep customers in the loop. E-signatures let your customer sign their documents anywhere from a phone, tablet, or computer. And since you’ll have simple and accessible records of customer interactions, you’ll have all the evidence you need on hand for an audit or customer complaint.

Why choose Biz Core as your Loan Origination System?

Being a lender in Australia requires a lot of hard work and dedication. By getting the right software for the loan origination process, you’ll be saving yourself time and setting your business up for future growth. With Biz Core’s simple, intuitive loan origination system at your fingertips, you can take your lending business to the next level.

Not only does Biz Core include all the features listed above, it can be your complete management solution to handle the entire loan lifecycle. And since you’re already dealing with enough complicated sums and money problems in your everyday business, we keep our costs simple with low set-up fees. Contact us today and find out how we can help your business make the transition.