One kind of technology that does this is called Intelligent Document Processing (IDP), which extracts data from documents using artificial intelligence (AI). In the financial services sector, this technology is growing in popularity, especially for loan processing and credit acceptance.
This blog article will discuss how IDP may use our custom-built solutions, suited to your unique requirements, to assist financial institutions and their clients in the European Union (EU).
Intelligent Document Processing: What Is It?
Let’s first define IDP before delving into its advantages. IDP extracts data from unstructured documents like contracts, invoices, and loan applications using AI and machine learning techniques. By automating the human data entry process, this technology can decrease errors and save time.
How Can IDP Assist with Loan Processing and Credit Acceptance?
Two essential components of the financial services sector are credit approval and loan processing. These procedures might take a long time and involve a lot of manual labor. IDP can assist in streamlining these procedures and offer financial institutions and their clients a number of advantages.
Quicker Processing Speed
By automating the data extraction procedure, IDP can contribute to a reduction in processing time. Credit reports, loan applications, and other papers can all have their data swiftly scanned and extracted by this technology. For consumers who need quick access to credit, this can assist financial institutions process loan applications and credit approvals more quickly.
Enhanced Precision
Errors can occur while entering data by hand, which can result in problems including inaccurate loan amounts, interest rates, and payment periods. IDP can increase accuracy by taking data straight out of the original documents. By doing this, mistakes may be lessened and clients can be guaranteed to obtain the right loan terms and amounts.
Improved Client Relationship
By speeding up processing and improving accuracy, intelligent document processing can enhance the client experience in general. Clients can get speedier credit by taking advantage of a simplified loan application and approval process. Furthermore, IDP can assist in lowering the possibility of errors, which can aid in raising customer satisfaction.
Adherence to Regulations
Regarding the acceptance of credit and the processing of loans, financial institutions are subject to laws and regulations. IDP can assist in making sure that documents are processed accurately and in accordance with applicable laws. Financial institutions may be able to avoid potential fines and penalties by doing this.
Financial institutions in the EU can reduce their document processing times by up to 90% with the use of intelligent document processing. IDP can also help improve accuracy and have a big impact on loan processing and credit acceptance, assisting financial institutions in handling loan applications more quickly and accurately.
Docbyte is an intelligent document processing system
When it comes to loan processing and credit approval, financial institutions and their clients can gain from intelligent document processing in a number of ways. This technology can guarantee regulatory compliance, boost accuracy, enhance client satisfaction, and expedite the loan application and approval procedure. In order to accept credit and process loans, IDP will become a more crucial technology as the financial services sector develops.
This excellent case study from EDR Credit Services might help you learn more about Docbyte’s Intelligent Document Processing technologies.
