A key factor to flexibility has been the elimination of data entry bottlenecks; successful fintech startups are using document digitization services and API-called data connectivity to accommodate fluctuating loan volume and underwriting powered by portfolio company Ocrolus.
At Ocrolus, we’ve seen firsthand how progressive Fintech lenders are able to create a nimble environment for loan origination and servicing. Flexibility was built out of necessity. Fintech lending is an industry that is just over a decade old and has grown as an alternative lending resource for individuals and businesses that didn’t fit into traditional credit scoring models used by depository lenders. Fintech lenders couldn’t grow based on the same models used by brick and mortar lenders: they needed to eliminate process lags and underwriting inefficiencies without compromising due diligence in order to operate and thrive as disruptors to the financial markets. As Fintechs have matured and their respective market share has grown, their practices are being adopted by leaders and innovators throughout the broader industry.