Experian’s Post

We’re thrilled to partner with Experian to revolutionise SME financing. By leveraging Experian's data solutions, we’re able to offer an end-to-end automated application and approval journey which can be as quick as 6 minutes! Read more about how this partnership is a game-changer for SME financing below. #SMEs #Fintech #Experian #CashFlowFinancing

It's clear that the commercial lending landscape has been on a rollercoaster ride. From grappling with inflation and higher interest rates to navigating supply chain disruptions and the looming threat of a recession, financial institutions have had their hands full. Recently, I had a conversation with a commercial lender who was adapting to these challenges by: > Implementing stricter credit criteria. > Adopting new technologies to streamline the lending process. > Leveraging both traditional and alternative data for better decision-making. > Prioritizing compliance to avoid penalties and maintain trust. This conversation underscored a key point: in an uncertain economic climate, a data-driven, tech-enabled approach is crucial for commercial lending success. Here are some strategies to thrive in the commercial lending sector in 2H 2024: > Mitigate Risk: Implement stricter credit criteria and leverage reliable credit data. > Embrace Technology: Adopt new technologies to streamline the lending process and save costs. > Leverage Data: Use both traditional and alternative data to make informed lending decisions. > Prioritize Compliance: Stay updated with changing regulations to avoid penalties and maintain trust. > Stay Competitive: Improve customer relationships and boost your competitive edge with efficient commercial lending software. In the face of economic uncertainty, being tech-enabled isn't just a nice-to-have—it's fundamental. If you're looking to navigate the commercial lending landscape successfully, integrating a robust credit data API like CRS into your strategy is a smart move. Want to learn more about how technology is shaping the future of commercial lending? Follow CRS‎ for updates and insights. Or, if you're ready to take action and implement advanced credit data solutions into your business strategy, explore CRS for valuable resources on enhancing your commercial lending game and driving growth.

[Great Insight 💡 ] Nearly Three-Quarters of Small Businesses Using Embedded Lending Access Bigger Credit Lines "...Businesses that share their financial data are typically more satisfied with their credit options and borrow more. According to the report, 72% of businesses using embedded lending are very satisfied, compared to only 57% of those using traditional credit. These businesses also borrow, on average, $235,000 — 48% more than those relying on other types of credit. Additionally, 69% of businesses using embedded lending are very likely to switch to a provider offering it, compared to just 38% of those using traditional credit. This suggests that embedded lending not only meets the immediate financial needs of SMBs but also builds loyalty and satisfaction..." #SmallBusinessLending #CreditOptions #EmbeddedLending #RaelTimeDataSharing #EmbeddedFinance PYMNTS Informationbanker

This is a great article talking about the benefits of small businesses sharing financial data, utilizing real-time data in credit decisioning and embedded lending. Take note, there is a shift towards real time data in small business lending. Not only is the data more reliable than stale tax returns that are sometimes 12-24 months old, but it is also easier to obtain. This is why this shift is happening. Third party lenders are providing this experience, to great success. Why put your small business borrowers through unnecessary steps, when you can provide a much more "consumer-like" digital process that is also more accurate at predicting risk? How do financial institutions prevent small businesses from going elsewhere, such as through other embedded channels, to borrow and/or bank? By providing the same type of experience. Speed and convenience wins the day. Every. Single. Time. "A PYMNTS Intelligence report, 'How Data Sharing Boosts Credit Solutions for SMBs,' reveals when businesses agree to share their data, they not only receive more tailored credit options, but also borrow more and experience higher satisfaction from the lending process." "In the U.S., 93% of lenders have access to this data most or all the time, allowing faster credit assessments and more efficient lending processes. This seamless flow of data enables quicker, more accurate decisions, benefiting both businesses and lenders." "Businesses that share their financial data are typically more satisfied with their credit options and borrow more. According to the report, 72% of businesses using embedded lending are very satisfied, compared to only 57% of those using traditional credit. These businesses also borrow, on average, $235,000 — 48% more than those relying on other types of credit. Additionally, 69% of businesses using embedded lending are very likely to switch to a provider offering it, compared to just 38% of those using traditional credit. This suggests that embedded lending not only meets the immediate financial needs of SMBs but also builds loyalty and satisfaction." #smallbusinesslending #realtimedata #taxreturnsaregarbage #betterdecisions #JUDI https://lnkd.in/g6DTUQDy

Navigating the commercial lending landscape in the first half of 2024 presented significant challenges due to rising inflation, higher interest rates, and persistent supply chain disruptions. As we step into the second half of the year, these challenges continue, but the opportunities for adaptation and growth remain robust. Here are some key trends we've observed and expect to continue or evolve: #1 Economic Uncertainty and Rising Interest Rates In 1H 2024, high-interest rates impacted every sector, making borrowing more expensive. Lenders responded by implementing stricter credit criteria. This trend is likely to persist as economic uncertainty continues into 2H 2024. #2 Cost Optimization Driving Technology Adoption To combat rising operating costs, lenders adopted new technologies that streamline the lending process. CRS’s industry-leading credit data API provided reliable access to credit data, saving time and money. This adoption trend will intensify as firms seek further efficiency in 2H 2024. #3 Using Data to Make Better Decisions More institutions used alternative data alongside traditional data in their lending processes in 1H 2024. This approach, which expands the potential pool of customers and enhances decision-making, will become even more prevalent in 2H 2024. #4 Compliance Taking High Priority With the evolving regulatory environment, compliance took center stage in 1H 2024. CRS remains the only modern, tech-enabled CRA providing ongoing compliance services, a critical role we will continue to fulfill as regulations evolve. #5 Increased Competition in Commercial Lending The rise of fintech and changes in corporate financing made the commercial lending space more competitive in 1H 2024. Lenders turned to sophisticated commercial lending software to improve customer relationships and enhance their competitive edge, a trend that will further develop in 2H 2024. Looking Ahead As we navigate the rest of 2024, a data-driven approach, a focus on customer experience, and a keen eye on economic developments will be essential. The landscape is challenging, but with the right tools and strategies, success is within reach. Need help navigating these complexities? Comment below, and let's discuss how CRS‎ can guide you to success.

TRIVER and Experian Join Forces to Boost Lending to Small and Medium Sized Businesses Jennifer Holt, Chief Risk Officer, TRIVER, said: “As a new fintech we have the opportunity to build a solution from scratch that fully utilises the latest digital solutions and data. We knew Experian could provide the expansive data sources to support a fully automated solution. “It is a real gamechanger, and empowers us to make smarter and more accurate decisions in the approval process. All we need to ask of businesses is their name and which of the directors is applying for funding, and we can approve applications in just a few minutes. It is a vital tool for us to go live and to identify those small businesses we can support.” https://lnkd.in/erMMeyGR Eduardo Castro #fintech #finance #banking #paytech #payments #fintechnews #paymentsnews

The landscape of small business lending continues to evolve, yet relationships remain at the core of the process. A recent survey by the FDIC uncovered valuable insights into how banks are balancing traditional practices with new technologies. It's remarkable that while around half of U.S. banks are exploring financial technology, they still prioritize personal interactions to support their small business clients. This highlights the enduring importance of relationship lending in a modern banking environment. For small businesses, understanding this dynamic can be crucial when seeking funding. Fostering relationships with local banks can lead to more favorable lending outcomes. What approaches have worked for you? Let’s share our experiences! #SmallBusiness #Lending #Banking #FDIC #BusinessFunding https://lnkd.in/gxWnTziU

Fintech leads the charge in small business lending transformation This PYMNTS article highlights the crucial role fintech innovations play in helping financial institutions meet new Section 1071 compliance requirements, driving significant changes in SMB lending. -The main key takeaway is that the article explores the challenges and opportunities these new compliance rules present and how they are set to reshape the future of small business lending. #FintechRevolution #SMBLending #Section1071 https://lnkd.in/e8txZ269

FIS Launches SMB Digital Lending to Streamline Small Business Loan Processes “FIS’ SMB Digital Lending solution is a game-changer for financial institutions and small businesses alike,” said Steve Sabin, SVP, Division Executive, FIS Lending. “By partnering with Lendio, we are leveraging our unmatched scale and reach in the banking industry plus Lendio's advanced small business underwriting technology and empowering financial institutions to profitably serve their small business customers. The expansion of our digital banking capabilities illustrates FIS’ commitment to serving the entire money lifecycle—whether at rest, in motion, or at work—and I look forward to seeing the positive impact the solution brings.” https://lnkd.in/eEF_6zcq Brock Blake #fintech #finance #banking #paytech #payments #fintechnews #paymentsnews

One simple takeaway from the FDIC 2024 Small Business Lending Survey: Community Banks rely on more difficult to quantify information which is gathered through relationships. Most smaller banks have loan decision-makers meet directly with applicants, creating perceived advantages in lending flexibility as compared to the large institutions. Said another way, we like to meet with the owners and operators and take time listen to the story. https://lnkd.in/gzxUGYUU #relationshipbanking #smallbusinesssupport #communitybanking #customerservice