Transformative solutions in digital lending services
Digitized and self-service technologies have consumed consumers of all types, especially in the financial world. Two credit union service companies, Constant and Alkami, announced that they have partnered in a new partnership to bring digital and self-service solutions to credit unions across the country.
The two fintech organizations announced Wednesday that they have combined resources to improve digital lending service and loss mitigation for credit unions.
According to a joint statement, although credit unions have a kind of digitization with loan applications, the loan management and loss mitigation processes are usually managed by people in the middle who rely on manual processes. and paper. “This can lead to delayed response times, costly errors, lost files and increased risk of non-compliance,” the statement said.
“Our partnership with Constant is an exciting venture and one that will give us the opportunity to provide banks and credit unions in our customer community with a platform that digitizes manual and outdated back-office processes for borrowers can access debt relief and financial well-being information. 24 hours a day, ”said Stephen Bohanon, Co-Founder and Chief Strategy and Sales Officer of Alkami. “Constant will help us deliver an enhanced digital experience that will allow our clients and their clients or members to get debt payment assistance seamlessly. We are delighted to have them as a member of our Gold Partner program.
A new study from digital consulting firm Mobiquity found that 63% of consumers are more likely to visit stores or businesses that have full digital offers than those that don’t. The Capgemini Research Institute, a global digital think tank, found that 59% of consumers shun companies that lack automated technology. In short – no digital, no deal.
These numbers, added to the wait times associated with manual processes, can be devastating for credit unions whose members expect and demand a fully digital experience.
“With heightened consumer and borrower protection oversight demanding a faster turnaround time, service providers will need to refresh their strategies for handling customer and member interactions, retention and long-lasting financial hardship,” said Catherine York Powers, CEO of Constant. “As payment assistance, forbearance and foreclosure relief comes to an end, there is an urgent need to make these preparations to prepare for increased crime trends and avoid unnecessary harm to consumers as much as possible. “
Constant and Alkami’s new partnership capabilities will be tested as they deliver their new services to Portland, Maine-based cPort Credit Union ($ 376.9 million in assets, 27,966 members). According to Constant and Alkami, they will be offering its hardship relief and financial well-being solutions to cPort CU. “As the first credit union in Maine to proactively offer comprehensive digital loss mitigation services to its members, cPort delivers on its commitment to operate responsibly and generate long-term value and stability. for those who need it most in the local community. The statement said.
“When it comes to financial hardship, asking for help can be difficult. We care deeply about the communities we serve, so it was important for us to allow our members to connect and get the help they need, ”said Kelsey Marquis, Senior Vice President and Chief Financial Officer of cPort Credit Union. “Constant enables us to deliver on our commitment to continually drive innovation and provide cutting-edge solutions to meet the changing needs of our members with the honesty, respect and fairness that our members expect of us. “