How a Reputed US Bank Improved 30% Efficiency with 40% Less Manpower

Our client is a distinguished lending institution known for providing government-guaranteed loans to small businesses across the United States. In response to the economic challenges posed by the COVID-19 pandemic, the client played a pivotal role in disbursing loans under the Business Resilience Loan Initiative (BRLI), aimed at assisting small businesses in sustaining their operations.

With the implementation of the BRLI, the client encountered a surge in loan applications, necessitating a more streamlined and efficient processing system. The existing manual approach was complex and time-consuming, leading to delays, inaccuracies, and frustration among both borrowers and loan officers. The complexity of different loan origination and forgiveness applications, coupled with the need for submission to the Small Business Administration (SBA), further complicated the process

Navigating the loan submission process posed a significant challenge due to its intricate nature, characterized by meticulous financial calculations. Borrowers were required to complete various types of loan origination and loan forgiveness applications, contingent on their specific loan type, such as Form 350, Form 3508S, Form 3508EZ, and more .Furthermore, loan officers were responsible for submitting these applications to the Small Business Administration (SBA) through the SBA's online portal for approval before providing feedback to borrowers.

Regrettably, this multifaceted process led to a series of issues including inaccuracies, extended response times, disjointed communication, and mounting frustration among both borrowers and loan officers.

Recognizing the need for innovation, our team collaborated with the client to devise a comprehensive end-to-end solution in record time. Leveraging cutting-edge technology powered by Appbay, we introduced an automated system that revolutionized the loan application and approval process.

How It Met the requirements?

Seamless Application Submission:

Borrowers can now effortlessly submit loan applications through an intuitive online portal. The system allows for smooth document upload, automated calculations, and validation through digital signatures.

Enhanced Communication:

Borrowers and loan officers benefit from improved communication channels. In-app notifications keep borrowers updated on their application status, while loan officers can collaborate effectively and assign tasks seamlessly.

Streamlined Loan Officer Workflow:

Loan officers are equipped with a 360-degree view of applications, eliminating the need to navigate multiple systems. With a single click, applications can be submitted to the SBA, minimizing manual interventions.

Adaptability:

The solution is designed to accommodate evolving regulations swiftly. When the SBA introduced new requirements, the system was updated within days to ensure compliance.

Results: Empowering Success

The implementation of the automated solution resulted in remarkable outcomes:

Enhanced Efficiency:

The processing time for loan applications was significantly reduced, leading to increased operational efficiency and faster decision-making.

Cost Savings:

Integration of processes streamlined operations, enabling the processing of more applications in less time, ultimately reducing operational costs.

Improved User Experience:

Borrowers and loan officers experienced improved communication and reduced confusion, contributing to a smoother application process.

Real-time Tracking:

Borrowers can now track the progress of their submissions in real time, providing transparency and confidence in the process

In addition to the technological solution, Appbay went the extra mile by:

• Creating tailored tutorial videos to guide users through the system's features.
• Continuously collaborating with the client's internal users to incorporate feedback and ensure optimal customization.

Following the successful implementation of Appbay's solution, the customer experienced a substantial positive shift in their operational landscape. The impact was profound, enabling the team to achieve the following significant outcomes:

Streamlined Loan Agreements:

The time taken to prepare loan agreements was drastically reduced from 30 minutes to an impressive 5 minutes, marking a remarkable six-fold increase in efficiency.

Accelerated Loan Closure:

The loan closure and funding process, previously spanning 4hours, saw an 88% improvement as it was expedited to just 30 minutes.

Enhanced Processing Efficiency:

The processing rate was elevated by 30%, all achieved with a remarkable 40% reduction in manpower utilization. This transformation saw the team optimize their resources from 7 full-time equivalents (FTEs) to a leaner 4 FTEs.

Efficient Integration for Time Savings:

The integration with DocuSign, SBA API, and Data Export led to an impressive reduction in processing time. This integration streamlined workflows, leading to significant time savings.

Swift Application Processing:

Prior to the implementation, processing 3000 applications consumed nearly 4 months. After the solution was in place, this timeline was drastically cut down to only 3 months for processing 2600 applications.

For any inquiries or further information, please contact [email protected]