By Edlyn Cardoza
Codat, the universal small business data API, announced a partnership with nCino, the global leader in cloud banking, to automate and accelerate banks’ ability to underwrite small business loans worldwide.
“Our platform makes it easier for credit analysts to get a clear picture of credit risk,” said Thomas ByrneManaging Director, EMEA at nCino. “Financial institutions have the opportunity to provide a better experience for their customers by automating the flow and exchange of data throughout the loan lifecycle. We are proud to partner with Codat to further automate processes that enable financial institutions to dramatically improve efficiency, accuracy and create cost savings while being able to meet real customer needs in time. real.
nCino’s transparent solution dramatically reduces the time it takes for banks to transfer information from a borrower’s financial statements to the bank’s financial analysis program (a process known as “financial statement dissemination”). nCino’s banking operating system is used by more than 1,750 financial institutions worldwide. Partnering with Codat will bring the same efficiencies to loan underwriting for nCino-backed banks, giving small businesses around the world faster and easier access to credit.
“The small business underwriting process remains incredibly laborious for most institutions,” said Pete Lord, CEO of Codat. “Many of the banks we speak with still have to request financial data from customers on a quarterly basis and manually enter this data into their loan management system – an error-prone and customer-crushing process. The power of this partnership lies in the fact that we have integrated our automated data collection and categorization capabilities directly into the nCino platform, which is already used by more than a thousand institutions worldwide.They can start now with very little effort. elevator to implement. »
One of the first financial institutions to adopt the new integration, Recognize Bank, eliminated significant data entry requirements.
“As an SME-focused bank, using technology from the best vendors that gives us scalability and flexibility is key to our success. We have looked at other solutions to streamline data collection from customers, but Codat was the obvious choice as it offers the ability to automatically categorize accounts and validate accuracy from multiple data sources.Automating our internal underwriting processes means we can provide our clients with faster, more efficient and frictionless integration between nCino and Codat further supports our mission to make life easier for small businesses,” said Mo FadaeiDirector, Banking Platforms and Partnerships, Recognize Bank.
Ninety-seven percent of financial institutions have digital transformation plans, but only 30% are working on implementing their strategy, according to a 2021 survey by BDO. Indeed, most banks are held back by the practical challenges and expense of upgrading existing systems to integrate new tools while meeting complex compliance requirements.
This partnership is just the latest in Codat’s suite of solutions to streamline and automate the credit process. Earlier this year, Codat launched Assess, enabling smarter credit decisions for small and medium-sized businesses with real-time customer data through a single API after the company’s lending customers universally demanded a product that would take support faster business decisions without increasing risk.
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