If you are reading this you know that one of the major advantages of a credit union is its cooperative nature and roots.
Credit union members enjoy more personalized interactions with tellers, lending officers, and other individuals working for the institution, and are often happier with the service they receive from their credit union than customers of any of your competitors. Yet, many credit unions don’t take full advantage of the cooperative opportunities within the industry, and therefore, forfeit a lot of potential business.
Field of membership (FOM) accessibility, and geographic size, and often times lack of market knowledge and awareness of what a credit union is also places Credit Unions at a disadvantage. These disadvantages are especially evident when credit unions compete against larger institutions (Big Banks, Large Community and Regional Banks, and frankly some large Credit Unions) for creditworthy borrowers in any marketplace, but especially at point of sale.
Lendsys eliminates all the FOM disadvantages through its unique automated lending platform, automatically capturing your existing members and sending your members directly to you, as well as capturing quality potential members from point of sale with its next-in-line lending feature, unique among tech-driven lending solutions.
Here’s how it works:
- An aggregated platform allows multiple lenders (perhaps all in the same market – or, even diversified by geography) to equally be placed into the lending mix, with each lender having its own unique decisioning and underwriting criteria, and rates.
- When a point of sale retailer or potential borrower enters a lending application into an aggregated lending system, Lendsys immediately flags whether the would-be borrower is a member of a particular credit union on the platform – and immediately directs that would-be borrowers credit application to the credit union that already owns that member, for a loan decision. In this manner, credit unions effectively gain the right of first refusal – the right to approve or decline the application – ahead of other institutions within the aggregated platform.
- This proven next-in-line technology works fantastically for capturing existing as well as potential member loans, while also reducing the overall costs of implementing and maintaining a Point-of-sale program. One application comes into the system and many fees normally associated with point of sale especially (Per Application and Credit Report fees to name the two most common costs), are minimized, so that every lender on the platform does not need to pay fees for every loan submitted, especially for declines.
- Lendsys next-in-line technology is a cloud-based platform so lenders do not need IT resources to install or maintain the system. Retailers don’t need to have Lendsys software installed for the system to work either. The platform is fully integrated with RouteOne and DealerTrack for indirect lending in the Automobile marketplace, and full open for all retailers to submit other consumer loans. The aggregated platform ensures that your institution receives any loan that you want, that your members apply for, no matter what the financeable product is.
Aggregated, automated, next-in-line lending technology from Lendsys is a game changer.
The system levels the playing field for credit unions of every size and geographic location, and FOM. Even credit unions with limited fields of membership can now cost-effectively enter the indirect marketplace and at least capture their existing member loans, as well as selectively grow their potential member base. Larger credit unions or those wanting to truly expand, can aggregate, essentially opening a new virtual distribution channel, to reduce overall costs and increase efficiency, ten-fold for a total win-win.