Financial institutions have long been wary about lending to small companies – the conventional thinking is that the risks tend to outweigh the profits. Over the last few years, however, the small-business community and fintech upstarts have begun to form relationships that have helped lead some lenders to reassess the market’s potential.One example worth noting involves Farm Read More
Almost by default, large legacy financial services organizations still command the strongest hand when it comes to consumer lending. It often boils down to the fact that those large organizations — by a nearly 3-to-1 margin — are considered a consumer’s primary financial services provider. BAI Banking Outlook: Trends in 2020, a recent BAI survey of consumers Read More
As banks consolidate—a fact of life since the financial crisis—they also feel pressure from non-bank competitors to get leaner, more efficient and bolster customer experience. This stands as more important than ever as banking becomes increasingly digital; today’s banks invest in big data technologies, customer analytics and mobile banking platforms. The banking sector stands as one of Read More
For those who seek to expand into new lines of business, improve operational capabilities or tap new markets, the question so often amounts to this: Should you build, buy or partner your way to success? While it’s becoming a more-than-common question, the answer often carries with it this salient truth: Technology has always been disruptive and established Read More
Perhaps you’ve seen ads for “Mortgage approvals in minutes!” just by using a mobile phone. They often run during halftime of a football game or before our favorite prime-time TV shows. The “approved in minutes” concept has grabbed the attention of many consumers, but those of us in the mortgage industry know that behind the marketing gimmick Read More
No matter the business, digitization holds the key that unlocks groundbreaking opportunities and prevents small issues from blowing up into multi-billion or even trillion-dollar problems. The ability to access the right data at the right time not only provides a benchmark for a company’s past performances—it also creates a roadmap to future industry trends. Access to accurate, Read More
As the economy continues its post-Great Recession progress, interest rates are expected to continue rising in 2018 on almost all financial products, including personal loans and mortgages. With these rate increases, the industry forecasts a reduction in mortgage rate refinancing. A study by Black Knight reported that in just the first six weeks of 2018, about 1.4 Read More
When Corey Vandenberg worked in retail banking—for 17 years, in fact, before he set up shop as mortgage banker in Lafayette, Indiana—he was always stunned at all the paperwork customers had to furnish to show proof of income to buy a house. “A traditional bank requires two years of tax returns and more proof to prove income,” Read More
Perhaps you’ll see this one coming like an angry regulator pacing up to the door. But if you wonder what federal mandates, a motorcycle, a baby boomer hairdresser and a blown business opportunity might have in common, read on. Our story of regulatory woe on the go begins with 60-year-old Geri Michael of Vero Beach, Florida. The Read More
Not long ago, bankers tallied creditworthiness with a fat envelope full of papers they assessed over the course of weeks. Then electronic reports took hold, with the three major credit bureaus (Experian, Equifax and TransUnion) ruling the roost and brandishing that all-important FICO score. To borrow from FICO’s paradigm, its importance to borrowers might as well be Read More
