Maybe you use basic Excel spreadsheets. Or an expensive, third-party platform. Maybe you’ve even tried to use the “intelligent pricing” feature in your existing loan origination system (LOS)… good luck with that!
Be honest: Do current pricing methods convince you that commercial loans capture every possible basis point of margin? How about the overall portfolio return?
Interest income from commercial loans provides more than half of a typical credit union’s earnings, so you’d expect pricing methods to be precise, disciplined… and optimal.
Traditional spreadsheets, plus a fanatically disciplined, highly-coordinated pricing team could optimize the tasks. But this is the real world—automation is needed.
Standalone pricing applications could do it (theoretically). But they’re complex. And over-worked RMs already struggle with corrections, rework, and loan-admin tasks.
Loan-pricing features, built into your existing LOS, seem ideal—until you open the 30-odd pages of user instructions. Succeed and the over-worked RMs still won’t use them.
Automated loan pricing must be:
• Fast and feasible
• Labor-free for RMs
• Member-specific (think: DDA balances)
Get more from every loan you sell, based on your own targets and spreads. The all-new Basis-Point Bot from The Lab finally makes automation easy.
You’ll get:
• Measurably higher margins. The bot gives you low/medium/high profitability scenarios on the fly—each one tailored to your chosen parameters, and updated daily to any index rates you use.
• Newfound visibility. See, RM-by-RM, who’s profiting the most from the bot’s recommendations… and who needs coaching to improve. Reports are emailed to you automatically.
• A cost-effective solution. Unlike complex pricing platforms with their locked-in contracts and six-digit annual licensing fees, the Basis- Point Bot is yours to own. And it’s easily updated whenever you like.
“Thanks to The Lab’s Basis-Point Bot, we’re now clearing commercial loans at a basis point average 20% higher than before—that’s an easy three-point gain in ROE that we would’ve otherwise missed.” —CEO of a prominent regional credit union
All the information you need to profitably price loans is baked into the Basis-Point Bot:
• Client profile
• Loan amount
• Current interest rate
• Published index rates
(the bot visits sites and grabs them daily)
• Underwriting risk
• Fees
• Calculated break-even point
• Desired spreads/scenarios
• Historical averages
• DDA balances and pre-set discount thresholds
• Other revenue generators,
e.g., treasury management services
And you get to sign off on all the underlying math before the bot goes live.
There’s even a manual-override function, so RMs can grab the sliders and play with the numbers as they see fit.
Unlike other solutions that require your lenders to form-fill lots of fields and then try and decipher the results, the Basis-Point Bot from The Lab is entirely automatic.
You read right: As soon as your RM enters data into your CRM, the bot grabs it and does its work, automatically serving up user-friendly results, instantly.
There’s nothing to configure. Nothing to learn. No new systems to install or integrate.
Put it this way to your RMs: “You don’t have to learn this tool… because it learns you.”
The Lab is North America’s authority for credit union automation. We’ve been helping credit unions like yours for three decades. Our approach to Knowledge Work Standardization®, which enables this kind of breakthrough automation, is patented.
We can install the Basis-Point Bot at your credit union in just weeks, remotely from our U.S. offices in Houston, using the best project managers and RPA developers, with nothing outsourced or offshored.
The Basis-Point Bot pays for itself in as little as six months. It’s a no-brainer.
The Lab has literally hundreds of credit union bots ready to go, including RPA Six-Packs™ designed to address strategic objectives like:
• Reduce loan-processing cycle time, rework, and errors
• Cross-sell more existing members
• Identify and reach more new prospects
• Deeply integrate with new fintech to improve member experience
Bots from The Lab do more than the drudge-work of things like ATM recons. They also do entirely new work that humans have never done before, as the Basis-Point Bot makes incredibly clear.
The best way to appreciate the power and elegance of the Basis-Point Bot is to see it for yourself.
Simply book your free, no-obligation 30-minute screen-sharing demo with The Lab. You’ll witness real credit union bots in action, blazing past at up to 45x human speed, error-free. And get all your questions answered by our friendly team.
Simply call (201) 526-1200 or email info@thelabconsulting.com to book your demo today!
