Thought Leadership article highlights the role of data analytics, technology in revolutionizing commercial lending
Technology advances, combined with the current economic downturn, are prompting commercial mortgage lenders and brokers to increasingly embrace newer technologies and the latest data analytics capabilities to more effectively compete against non-traditional lenders, manage risk, and grow their businesses. That’s according to Wolters Kluwer Lien Solutions, writing in a new thought leadership piece.
“Although there are many noteworthy technologies impacting commercial mortgage lending, none may be more important than the AI- and machine learning-based insights that allow financial institutions to transform their businesses and succeed in a rapidly changing market,” writes Nasser Ansari, Director of Product Management for Wolters Kluwer Lien Solutions, in the January issue of Scotsman Guide’s Commercial Edition. The publication has been covering financial developments for more than 25 years and hundreds of thousands of mortgage professionals rely on its insights to make profitable business decisions.
“Machine learning and other technological advances have allowed detailed data in user-friendly formats to be more readily available to commercial mortgage professionals. What the COVID-19 pandemic is teaching us is that mortgage brokers need to take greater advantage of this data to make sound decisions amid exceptional levels of economic and market uncertainty.”
Today’s technology not only massively expands the capabilities to conduct targeted consumer data collection, he writes, but enables critical analysis that yields important insights on one’s target audience and can serve as a market differentiator.
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“The internet, mobile applications and social media, for example, are creating an unprecedented amount of data on consumer behavior. This offers a much richer dataset for financial institutions to use for their ‘know your customer’ initiatives,” Ansari writes. “Secondly, modern IT infrastructure enables lenders to aggregate large amounts of data in a timely and cost-efficient manner. Data is no longer locked up in functional silos. This data can give enterprising lenders an enriched behavioral understanding of their customers, resulting in more cross-selling and up-selling opportunities,” Nasser writes.
“Big-data platforms and analytics are enabling companies to identify patterns in the data that were not previously possible. These analytics-based insights are hugely successful in providing the right experience to the right target consumer. The ability to identify the patterns (either positive or negative) leads to uncovering deeper customer insights, making better decisions and generating more profits,” he concludes.
Wolters Kluwer Lien Solutions, part of the Wolters Kluwer’s Governance, Risk & Compliance (GRC) division, provides comprehensive lien management, debtor due diligence, monitoring, and risk management solutions to financial professionals. Its iLien suite of products provides solutions for asset-backed loan, real-estate and vehicle title processing and management to help reduce complexity in lien lifecycle management and promote more confident lending decisions.
Wolters Kluwer’s GRC division provides an array of expert solutions to help U.S. financial institutions manage regulatory and risk obligations. Lien Solutions’ UCC Manage solution enables lenders to manage and address risks in their entire UCC lien portfolio with analytics, visibility and automation. iLien Motor Vehicle provides for the processing and management of motor vehicle titles and liens, helping solve the most unique and complicated challenges in title perfection. Wolters Kluwer Compliance Solutions’ Paycheck Protection Program Supported by TSoftPlus™, meanwhile, helps U.S. lenders’ small business customers access critical stimulus funding.
