CU Direct White Paper Reveals Keys to Funding More Approved Indirect Auto Loan Applications
Ontario, CA, May 5, 2016 -- In the highly competitive auto lending arena, speed is a critical deciding factor in funding more loans. CU Direct (www.cudirect.com), the nation’s leading provider of lending, automotive and strategic solutions to the credit union industry, has published a new white paper addressing the importance of LOS decision optimization in improving lending speed and efficiency, and overall loan growth.
The white paper, LOS Decision Engine Optimization Improves Efficiency and Accuracy, offers critical insight to best practices in fully leveraging decision engines to improve auto lending and capture a larger percentage of the marketplace.
CU Direct’s recent study of indirect auto loan applications submitted through the company’s CUDL Platform, consisting of 1,000+ credit unions, revealed that the probability of funding an approved application increased by as much as 55% when the application was system approved, rather than manually approved.
However, the study also showed that many credit unions don’t take full advantage of their credit decision engines, as less than 10% of loan application decisions are rendered through decision engines. The paper details how credit unions benefit from utilizing their data and technology -- getting the most out of their loan origination system’s decision engine -- in order to maximize loan potential.
“Credit unions must look closely at increasing decision efficiency and accuracy to remain competitive in today’s marketplace,” notes Michael Cochrum, executive lending advisor at CU Direct. “It’s about getting to ‘yes’ faster, so credit unions can significantly increase funding rates on applications.”
Credit unions interested in requesting a free copy of the company’s new white paper can do so by visiting CU Direct’s website.