Posted by MeridianLink | February 28, 2024

The Connection Between Deposit-To-Loan Ratio, Consumer Retention, & Data 

The materials available in this article are for informational purposes only and not for the purpose of providing legal advice. You should contact your own advisors with questions regarding the content herein. The opinions expressed in this article are the opinions of the individual authors and may not reflect the opinions of MeridianLink, Inc.   

Trying To Boost Your Deposit-To-Loan Ratio? Look to the Data 

A recent BAI report noted that financial institutions (FIs) nationwide are prioritizing deposit growth this year. But that’s nothing new—FIs are constantly trying to boost deposits. What is new, however, are the circumstances FIs must navigate to achieve that desired growth: evolving interest-rate policy, inflation concerns, and a fintech sector that’s rapidly increasing the number of financial transactions it can offer consumers alongside convenient functionalities. 

These factors can make growing and retaining business a challenge—and that, in turn, makes data more crucial than ever to ensuring your FI comes out ahead of the competition. 

Diving into your FI’s data helps you better understand your consumers’ needs so you can act on them with speed and relevance, reducing the likelihood of attrition or abandonment and, as a result, enabling your FI to boost its deposit-to-loan ratio by securing those critical revenue streams. 

Data Helps You Build Better Consumer Experiences 

The same BAI report also found that today’s consumers demand quality, personalized service with digital convenience. Delivering on these demands is critical to hitting your FI’s retention and growth goals and, by extension, increasing your deposit-to-loan ratio. After all, the more money deposited into your FI, the more money available to lend to borrowers.  

So how can data help you reach these goals? It can: 

  • Enable pre-filled applications to streamline the process, reducing abandonment rates and creating a faster, easier borrower experience. 
  • Help you create targeted outreach with relevant offers and advice, leading to greater trust in your FI as it proves itself to have individual consumers’ best interests in mind. 
  • Uncover additional engagement opportunities with near real-time data, helping you deliver on consumers’ needs more rapidly, and even proactively. 

These are just a few of the ways data can be used to boost engagement and drive growth throughout your institution. By converting your data to actionable insights, you can better assist your consumers in meeting their needs to achieve greater satisfaction that translates to portfolio gains. 

The digital era of banking is here, and it offers endless choices for consumers. To stand out from the crowd and meet your growth goals, your institution needs a partner who can help you dig into the data to uncover exactly what your consumers want at just the right time. 

The MeridianLink® One platform offers data-driven insights, customer engagement tools, and seamless digital lending experiences to help your FI engage its consumers and realize transformative outcomes. From increasing deposits to improving consumer experiences, MeridianLink has already helped numerous institutions nationwide achieve impressive results. 

Discover how to harness your data’s full potential to drive better engagement and continuous growth. Click below to access the “Data Delivers” brochure and take the first step on the road to digital lending excellence!  

Download the Full Brochure

Similar Posts