Autonom8

GenAI in Loan Origination

Muthukkumaran K | May 25, 2024

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Introduction to LOS

Long ago, banks manually created loan documents such as promissory notes and deeds of trusts. This process was time-consuming and prone to errors, especially for banks and credit unions with many account holders, branches, and loans.

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Modern LOS System

Today, a Loan Origination System (LOS) is a technology that helps financial institutions generate loan documentation in a way that complies with regulatory and internal requirements. It involves identity verification, credit assessment, cash flow evaluation, loan repayment capability check, and error detection.

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Need for Efficiency

The traditional loan approval process typically takes 15-18 days. This slow and frustrating wait highlights the need to shift from manual loan origination to efficient, technology-driven systems to enhance customer experience.

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Role of GenAI

Banks can leverage GenAI, automation, and technology to enhance security and revolutionize the customer experience. GenAI and automation are crucial for fraud detection and swift responses to suspicious activities.

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Personalized Interactions

GenAI fosters personalized customer interactions by understanding preferences and behaviors. It streamlines the loan origination process by digitizing applications, handling documentation efficiently, reducing errors, and accelerating approvals.

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Autonom8's Technology

Autonom8's technology is transforming consumer lending by reducing the process from 15-18 days to just minutes. The A8 app extracts information from documents using an intelligent image parser, ensuring privacy with a secure mask feature.

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Efficient Process

The A8 app performs background verifications, including document and credit checks, cash flow analysis, payment history, bank account verification, and geo-tagging. This efficient process enhances customer experience, reduces costs for financial institutions, and ensures data security.

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Conclusion

In conclusion, GenAI is revolutionizing the LOS system, making it more efficient and secure. It's enhancing the customer experience and reducing costs for financial institutions.

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