All-in-One Loan Origination Systems, or Best-of-Breed Components?
Loan origination software combines screens with decisioning logic — but is that the best way?
One system to handle straight-through processing — from application to booking — leads to unnecessary compromises.
Many financial services organizations look to loan origination software as an all-in-one solution to power end-to-end application processing. That means one system to manage the entire experience, from customer-facing front ends to underwriting and compliance.
The Loan Origination System (LOS) screens, which are fundamental to LOS systems, drive everything as the evolution of credit memo documents that were used 30 years ago. However, LOS’s have yet to fully adapt to today’s modern, data-driven underwriting processes.
But don’t worry, because Provenir has.
Provenir vs. loan origination software
Provenir
Provenir Decisioning provides sophisticated credit risk decisioning capabilities. Supporting everything from waterfall knockout rules to full machine learning models, our model-agnostic platform means you can upload Python, R, SAS, PMML, Java, SparkML, and TensorFlow models without recoding. We’re the intersection of smarter risk decisions and powerful risk analysis tools.
Loan Origination System
Decisioning logic supported by loan origination software is generally very basic, only allowing for waterfall rules and simple scorecards. Any support for more complex modeling requires customization by the vendor. Not only do these requests come with long wait times, but you’re also beholden to your vendor for development, testing and deployment.
Provenir
Provenir’s focus on decisioning, data, and advanced analytics means we’ve built out rich, robust components that support any decisioning use case with a flexible, drag-and-drop visual user interface. We’re also easily integrated with other solutions — including loan origination systems — so you get the best of both worlds.
Loan Origination System
In a LOS, both screens and decisioning logic are in one system. This causes businesses to lose the flexibility to enhance parts of the origination process, since the entire system must be upgraded to support changes. And with all components in one system, development and implementation times are much longer, limiting agility and reducing the flexibility to make tactical improvements.
Provenir
Provenir Data offers any data, anywhere, on-demand, all through a single API, so you can accelerate your data strategy with a purpose-built data platform. Provenir Marketplace enables preconfigured integrations with our global data partners, including a wide variety of traditional and alternative data sources — with visual field mappings that simplify using new data sources in any decisioning workflows in minutes.
Loan Origination System
Most loan origination software has a pre-developed list of data integrations that work well with pre-built decisioning logic. If a client wants a different data source, you’ll need the vendor to complete an expensive and time-consuming software customization — limiting your ability to test new data sources in your decisioning.
Provenir
Provenir is built to support your business from startup to decacorn. We’ve built a scalable, flexible platform that grows and evolves with your business. Use autoscaling features to support peak periods and launch new products all from the same environment. The best part? Our technology powers business growth with easy iteration, innovation and collaboration.
Loan Origination System
If you want your technology to grow and scale with you, there are better options. Loan origination systems are built as one size fits all, based on the size of your organization. And because screens are inflexible, the LOS for large institutions is a poor fit for others, like a startup.
Provenir
Many of Provenir’s clients are household names, known for innovation in how they present themselves and their market offerings. The flexibility of Provenir allows each client to tailor how the decision engine works to meet their unique needs.
Loan Origination System
The inflexibility of loan origination software makes it hard for many institutions to differentiate themselves. Product innovation is limited by what the LOS can support. Screens are the same from company to company, making it hard to differentiate from your competitors.
Provenir
Provenir’s low-code, model-agnostic platform reduces reliance on development teams to implement important changes. Whether it’s data integration mapping or risk model deployment, your risk team quickly controls and implements updates, leaving your technical users to focus on other key areas. But don’t worry – if you want to make it custom, the functionality is there.
Loan Origination System
Many loan origination systems don’t offer a no-code interface that empowers enable users to make key changes. With a reliance on development teams to implement strategy changes and launch new products, you’ll limit your business’s ability to grow and expand — something you just can’t afford in competitive business environments.
Our platform makes us unique. Our results make you stand out.
Jeff Lively, VP of Dealer Services, GM Financial
“We have deep insight into every application and contract as we can instantly get real-time information whenever we need it.”
Magnus Silfverberg, CEO, Dun & Bradstreet
“Provenir plays a vital role in navigating this balance between compliance and speed, because it gives us the ability to orchestrate all of our scoring and compliance processes very quickly.”
“The flexibility and ease of use of the Provenir platform allowed us to complete a very complex project in record time with nearly half as many resources and over a 50% cost reduction.”
Adam Colclasure, Senior Director, Risk Infrastructure
Brian Billingsley, CEO, North America, Klarna
“Provenir has delivered a solution that increases our agility and responsiveness to clients. The implementation of Provenir’s software will contribute towards Klarna’s global market goals.”
Agur Jõgi, Chief Technology Officer, Bigbank
“The Provenir solution is an important element in our transformation. The interface is so visual that it is simple to design effective, transparent business processes.”
Companies like you choose Provenir
GM Financial
GM Financial wanted to bring new auto lending and leasing products to market more quickly, paving the road for smoother loan origination processes. Provenir was there to help.
Klarna
BNPL provider Klarna needed to replace legacy technology with real-time risk decisioning and business analytics designed to keep up with shopper demand. Provenir provided the framework to get there.
Bigbank
Bigbank needed better credit and lending products that led to better customer experiences. That meant leaving outdated technology behind for a unified platform. That’s where Provenir came in.
Resources to dig a little deeper
Navigating the Economic Landscape: Maximizing Customer Value in Financial Services
What is Banking as a Service (BaaS): Exploring BaaS Trends in 2023
Ready, Set, Regulate: A Three-Step Guide to Preparing for BNPL Regulation in APAC
Our reach is global
Provenir operates around the world, providing you with the data, technology and support you need to power a global business. We’re your go-to partner, regardless of time zone.