Neorithm has specifically developed NavigatorSuite Loan Origination System to support the loan application processing needs of banks and financial institutions. Loan Origination System employs workflow-driven technology to control and to monitor all the work steps involved in loan processing.
Each loan enquiry is monitored from the time it is entered into the system, and tracked through various work steps of credit review and approval process. Loan Origination System allows these work steps to be performed from multiple branches at different locations while maintaining control of the flow and making sure that no required steps are being missed. Loan Origination System uses digital imaging technology to reduce the delays and inefficiencies in handling paper documents.
Key Benefits
- Improves sales efficiency – via reducing the time required to convert an application to disbursal from weeks to days/hours.
- Reduces cost per application.
- Prevents stale enquiries/applications – via quickly tracking applications and being able to take action against them.
- Improves productivity – via saving each credit officer 3-5 hours per application that is “disqualified” in the process.
- Improves Customer Satisfaction – Using Document Check list, marketing officer can tell customer upfront how and what are all the documents required for processing the loan.
- Enables loan sanction management within the Bank Credit Policy.
- Improves delinquent check – internal as well as external (CIBIL).
- Allows User defined Certified Management Accountant (CMA) Management – Bank can define own CMA formats.
Salient Features
- Enables Structured work-flow for automatic routing of applications.
- Supports different origination channels.
- Supports different loan products and loan types.
- Provides Loan type parameters and constraints definition.
- Acts as an Interface to external systems .
- Provides internal credit checking, credit scoring and compliance check.
- Supports user defined CMA structure.
- Generates letters and forms automatically.
Loan Processing Work Flow
The most essential feature is its Loan Processing Work-flow. System tracks lead from request generated till Loan disbursal. Each Loan Application is monitored from the time it is entered into the system, and tracked through various work steps of credit review and approval process. It allows these work steps to be performed at different locations while maintaining control of flow making sure that no steps are being missed out. A financial institution can quickly define and configure different loan types to create competitive advantage without awaiting system change.
Origination Channels
LOS accepts applications originated from various channels as follows:
- Walk in Application.
- Mail / Fax.
- Internet Application.
Components of LOS
Dashboard
Whenever a user logs in to the system, the dashboard is seen. All the activities are displayed in the dashboard such as reminder for a pending document, approval of loan etc.
Internal Credit Checking
LOS can interface to the bank’s internal system to retrieve information of existing customers, e.g. customer information file, loans system etc. When an RM invokes the existing customer check module by entering Customer Id, LOS will retrieve the customer information from the system and displays all the details on the screen.
Credit Scoring
Credit scoring is a more systematic approach to make approval decision. This mechanism automatically calculates the score of an application based on the information entered and the credit rating used. Credit Rating parameters can easily be changed with the Credit Rating interface.
Letter generation
Letters are generated automatically in LOS, upon completion of certain tasks, e.g. loan approval or rejection. LOS will integrate application data with pre-defined letter templates to generate and print the letter without human intervention.
Imaging
Document management is an integral part of LOS. As soon as you receive any document you can upload it in to the system and retrieve the same. Electronic folders, similar to paper folders, will be created for each individual application to hold images of all the forms and supporting documents. Images displayed on the screen can be zoomed, panned, scrolled, or rotated for convenient viewing.
Interface to system
LOS can interface with various external systems for purposes such as credit checking, customer information etc. Some of the examples are:
- Interface to CIBIL for negative check (when CIBIL online interface available)
- Interface to Customer Information System / Banking System to get customer information.
- Interface to mailing system.
Loan Origination System employs the latest software development approach of 3-tier architecture wherein the graphical presentation, the application logic with the work-flow engine and the database can be separately run on three different machines. It is developed using .NET and can be deployed on MSSQL, ORACLE and DB2.