With modern technology constantly evolving and adapting it’s led to a massive uptick in automation. Seemingly every industry now utilizes automation within the day-to-day functions of their business. Yet, the industry that has really seen a significant boost from automation has been the auto industry thanks to the powers of an auto loan collection system also known as a loan management system (LMS), which provides exceptional benefits for lenders and an easier way to communicate with buyers.
Compared to other outdated legacy lending systems, an automated loan management system holds a number of distinct advantages including superior customer success, refined decision-making accuracy and all but eliminates the need for paper documents. In order to properly maximize your loan management system, we’ve outlined a few of the benefits an LMS provides and how when paired with the likes of insurance tracking and payment processing can drastically improve your company’s ROI.
Benefits of an Auto Loan Collection System
• Quick onboarding process: While other loan management systems can take several months to fully onboard, Verifacto’s LMS takes between a few hours to a few days so finance companies can quickly and easily begin managing their customers’ loans immediately.
• Compliance check: During the loan onboarding process, Verifacto will check each loan for compliance related to the loan origination process so you never have to worry about running into an error.
• Smart and efficient collection system: Finance companies can execute the collection task faster and more efficiently with the LMS. The new LMS collection system leverages AI technology to enhance and automate the collection process by generating the most effective messaging content that helps lenders resolve collection issues and reduce overhead.
• Easy QuickBooks integration: Automatically convert transactions into your
QuickBooks journal entries.
• GPS tracking: Stay on top of your loan’s status and know right where your collateral is
so you remain in the driver’s seat.
Improved Tracking & Transparency with an Auto Loan Collection System
The simplicity of a loan management system should not be overlooked. A few clicks are all that is needed to prepare an extensive overview of each loan status, including those marked as received, verified or even flagged. Outdated methods of manually tracking and noting documents can’t match the extended features that an automated LMS can provide.
For even more coverage, we recommend pairing your auto loan collection system with an insurance tracking software.
Reduce Risk & Streamline Growth
Another great feature of an auto loan collection system is that it abundantly reduces the number of risks involved with loan management. Lenders are able to function at a much higher level as they can quickly navigate and affordably scale their operations to match any seasonal changes. This in turn leads to much lower risks, as lenders can easily scale any overhead costs that correlate with any recurring training.
Furthermore, by relying less on manual processing and more automation, businesses are able to streamline growth as more employees are able to handle a greater volume. One such benefit of this is to combine your LMS with a payment processing software. Verifacto’s proprietary payment processing technology is designed to fit seamlessly with a loan management system, as it offers lenders an even larger array of benefits. Developed for auto dealers and finance companies across the country, Verifacto’s online payment processing technology is designed to streamline the entire lending process.
Verifacto’s payment processing reminds borrowers when they need to pay their loan and provides them with easy access to pay online from their computer or cellphone. The system will keep reminding the borrower via text messages and email alerts, and provides the access link to pay online.
Lending has Never Been Easier
Here at Verificato, we take great pride in providing not just the best products and resources needed to initiate the loan process, but also having a phenomenal team of dedicated professionals who work tirelessly to provide exceptional customer satisfaction. If you still have questions or would like to learn more about the benefits of a loan management system, contact the expert team at Verifacto today!