The customer experience for financial services must take priority. How your customer experiences your loan process will determine if they return to your business. If your loan process starts with a long and slow application, your potential customers probably won’t even use your services.
Customers today value speed and convenience over all else in the lending experience. If you can’t provide the loan options they expect quickly and easily, they will continue to look for a lender who meets their expectations.
The industry is rapidly evolving with new technology, so to make finding the right technology easier, we have compiled a list you can walk through to see if it’s time for you to upgrade your systems to create a better customer experience.
Your Loan Management Software
Before we start to address what you need in a loan management software (LMS), we must first address what you are using today. Your loan management software is a crucial part of your business and lending process. Your LMS runs your day to day business processes and should manage the entire loan cycle.
We know some lenders are using both a loan servicing software and a separate loan origination software. If you are using two separate software for one loan process, this article will be especially helpful. Just having one system to manage your entire business will massively improve your customer experience.
Even if you are using an LMS, numerous Loan Management platforms on the market are delivering outdated technology. You need a lending solution to equip you with the latest technology. Like mentioned earlier, you need speed and efficiency in your lending process, and your loan management software is a crucial piece to your success.
Implemented for Your Business
Your business is unique. We find success in business by differentiating ourselves from our competition. Unfortunately, most software doesn’t cater to the unique needs of your business. When you work with a configurable LMS implemented to your business, you can build in your own “secret sauce”.
This configurable implementation could look like loan-specific workflows. The workflows should reflect the differences in loan models. Loan specific workflows will save you time and money. You need the flexibility to set up workflows and adjust them based on results. Your results may show you ways to minimize processing time, or where you need an additional step.
With the “on-demand” mentality of customers, we must consider customer self-servicing options. Your software should facilitate the implementation of an Interactive Voice Response (IVR) process for self-servicing loans. Additionally, your software should equip you with a customer portal and a mobile app with your branding. With 80% of Americans owning a smartphone, apps are a great way to create brand loyalty and a better customer experience.
Lastly, you need more control over your business. With a loan management system to manage your entire business, you can get accurate reporting. If you need to see how many customers have loaned out or any accounting reporting, you should have that information readily available.
Lead and Customer Management
Managing leads is crucial. Whether you are buying leads, generating leads from your website, or relying on Google, your LMS should have a process for managing your leads.
Your LMS should allow you to keep track of customers going through your lead pipeline, your loan application, and as they complete your process to repayment. Then you should be equipped to easily re-engage those same customers with marketing offers.
Should you go the lead purchasing route, many lead companies work with you directly to understand your business to help you get the most bang for your buck. Unfortunately, all of that money is wasted if your LMS doesn’t effectively manage the leads you’ve purchased.
Well Integrated with 3rd Party Partners
As previously mentioned, you should have the ability to build your “secret sauce” to maximize efficiency throughout your lending process.
The best way to meet your business needs comes from software well integrated with industry partners. Ensure your LMS has the industry partners to provide you the control you need for your business. If you need payment scheduling, leads, credit data, or a decision engine, your LMS provider should have established partnerships to equip you with the tools you need.
Also, make sure your LMS is providing the latest technology. Just because the software is integrated with another company doesn’t mean they have all of the features offered by the other company. With these partners frequently developing new features, the software may not get a feature integrated until months, if not years later.
Your LMS provider should also be open to clients bringing new partners to the table. You have a unique business. You should be able to have the partners you need to make your business successful.
Equipping your business with better technology
Your LMS should equip you to make your customers’ experience better. If your LMS doesn’t meet the needs of your business or customer well, your business will start to fall behind as better technology continues to raise your customer’s expectations. If your LMS is lacking in these areas, start looking for a better LMS today.
Lenders often face software that quickly becomes outdated due to the rapidly evolving industry. When you look for a new LMS, consider the software as a service model. This model ensures the company continually keeps its software and your business on the cutting edge of the industry.
If you feel your technology has fallen behind, you may have some worries about how you should even start to move forward. You recognize the value of a system like this, but you feel unsure of how to even get these systems.
We at Vergent LMS and iQDE believe you should have a decision engine and LMS to better your customer experience and equip your business to thrive. That’s why we partnered to provide you the effective systems you need. We have measured ourselves against this list to ensure we are providing you with the right technology to equip your growth.
You know you need a better customer experience. Request a demo today to see how we can equip you with the tools you need to make any loan, any time, anywhere.