Bank as financial institutions, has numerous products and services. One of which is a business loan, a type of loan to accommodate Small & Medium Enterprise (SME) owner financing their business. Alongside SMEs endlessly showing up, responding to the market demand surge, bank industries also constantly strive to provide competitive capital loan offers with compelling deals to attract as many customers as possible.
But in reality, there are challenges that exist in commercial loan processing that can potentially inhibit the headway toward significant growth. Exceptionally the time and cost spent in everyday paperwork administerial, which commonly spans days count and meets errors, yet, that stage of the process matters most to be the groundwork for deeper assessment.
With its leading-edge technology, AI is proven to be a digital assistance expert for many sectors, including banks. Hence, this is a sign for banks to overcome SME loan process difficulties by utilizing AI-based solutions.
Top 3 Business Loan Challenges
The loan issuance process for small to mid-size businesses took initials several steps until funding decisions were made by the bank. But, running manual loan processing apt to encounter a number of drawbacks, as mentioned below:
Inefficient data entry
When enormous documents meet manual data management, stressful and complicated to handle is inescapable. Manually inputting a variety of application files that take ages threatens the bank’s operational productivity.
Risk-prone lending
Possible human error cases are also one of the biggest challenges in performing traditional business lending. Poor document processing involves greater risk, or at worst, can lead to miscalculations decisions.
Lack of data utilization
The incapability to the fullest customers’ data utilization effectively is regrettably missing. It’s also too unfortunate to happen when there are insight details missed due to the insufficiency of a manual approach.
AI & OCR Is The Game Changer
Worry not, achieving automated and high effectiveness in loan servicing is no longer just a dream. AI is clearly right in front of us, bringing game-changing impacts.
On one side, the incredible tools of AI and OCR (Optimal Character Recognition) can accelerate internal business performance, fueling the company’s effectiveness in navigating its operation flow. On the other side, it also helps to stay ahead in the market, since consistently adapting to the next wave of the business ecosystem in this digital age is ever more vital. So, how can we implement AI technology in a real business loan process? Check out this.
Seamless application data extraction
Ever wondered about capturing data from physical documents or images within seconds? With OCR, clean, parse, and digitalize applicants’ financial portfolios swiftly in less time. Even better, the result of data extraction can be seamlessly integrated into spreadsheets. And of course, equipped with high accuracy as its factor is crucial in loan granting.
Delay-free underwriting process
Once data processing becomes AI-automated, the door to the most effective underwriting process is opened. Experience no delays in translating loan applications into enriched insights which will help the evaluating process be done more efficiently.
Streamlined credit score analyzer
Delve a deeper understanding of the registered SME’s financial accounts. Screening accurately by analyzing the financial condition through a comprehensible lending dashboard, which is enhanced with a risk alert to ensure credit trustworthiness, allowing more secure lending decisions.
Fintelite: All-in-One Automated Lending Platform
If you’re looking for an answer to all that manual loan hurdles, you’ve come to the right place. Fintelite is an AI-based business solution that can supercharge your SME loan processing multiple times faster to decide smarter.
With a 99% notable success rate of our OCR by Fintelite, let your transaction data be parsed, categorized, and integrated into your system effortlessly. Compatible with various financial document formats, such as e-statements, invoices, receipts, and more as per your customization needs. Want to tailor the tagging process? Here you can also find a labeling & retraining dashboard to specify aligning to your detailed standards. To explore more, join our OCR Free Trial.
Yes, we hear you. The underwriting process in disbursing SME loans is crucial. Fintelite also offers a lending dashboard, encompassing extensive insights and visual graphs into SME customers’ financial conditions. Streamline the screening process by accelerating 25x underwriting speed with our AI-powered analyzer tools. The first step to this remarkable milestone, schedule a free consult session with our AI expert now.
