As financial institutions continue to adapt their operations to evolving consumer demand stemming from the digital marketplace, it can be difficult to determine the functionality and features of a digital application tool, loan origination system and deposit account opening platform that can provide the most efficiencies and growth opportunities.
With that in mind, here are three of the most important best practices every financial institution needs to consider when evaluating its technology:
- Eliminate friction for consistency across all channels, including back-end mobile capabilities: While it may be true that your institution has different touch points that occur across different areas of a lending group throughout the life of an application, the consumer should be offered a seamless or frictionless experience.
Examples of decreasing friction include having the decision returned while still in the browser session after submission, providing the opportunity to upload supporting documentation without leaving the decision page as well as the ability to accept cross-sell offers and general documents.
- Consistent user interface from mobile to branch: Your digital loan origination solution must support the ability for the user to switch methods of engagement, whether on a mobile device such as a tablet or in a branch.
Your solution also must have a consistent look and feel with familiar features at all levels. A lack of consistency for different applications can confuse the applicant and ultimately dissuade from following through on an application. Make sure that you cover your bases and ensure that all available methods of submission maintain consistent features and branding. To be clear, a truly frictionless digital process goes beyond application submissions and includes back-end processing for your staff.
- Reduce duplication of consumer activities through strategic combinations: For credit unions, consumers already have a straight-forward and simple approach for obtaining a deposit account. When it comes to indirect consumers, or consumers shopping for a loan, having a share account with the credit union is prerequisite for obtaining a loan. Suddenly the simple process for a new member becomes more complex in requiring two applications be submitted with approvals required on the membership account prior to a loan being decisioned.
Given that most of the data-points to open a loan are very similar to those for opening a membership application, a smart lender can combine the request on the consumer-side. Thus a single form from the consumer’s side can service two interrelated applications. With auto-decisioning on the back-end, a consumer can be decisioned quickly and easily on both, thereby reducing any friction that may have prevented a consumer from signing up in the first place.
MeridianLink’s suite of Application Portal, LoansPQ and XpressAccounts work together as the industry’s only all-in-one platform that accomplishes all three of the items mentioned above. Today’s financial institutions need technology and capabilities that fit their strategies and allow for a digital strategy to continually evolve. Just having a website that accepts applications is no longer sufficient. Institutions of all sizes need the digital functionality of an application that provides an amazing user experience on a smartphone or tablet.
If you’d like to learn more, join us for a complimentary webinar at 2 p.m. ET, Wed., March 6. Our team will focus on how your financial institution can better align with what your customers and members are expecting in their digital/mobile journeys. This webinar will thoroughly examine best practices as well as technology features and functionality to enhance the ideal mobile strategy.
To register, please click the button below.
Photo Credit: smallcurio