SAN DIEGO — Fuel Capital Group is developing a tool that will automatically pull information from a borrower’s credit report into its underwriting system, Manager of Data and Analytics Blake Henke told attendees at PowerSports Finance Summit 2019.
“We’re currently working on a tool that will crawl through people’s credit reports as they apply for our leases and pull out all of the typical underwriting attributes,” Henke said. “We’ll be able to systematize that underwriting at a much greater depth than simply a few key indicators off of the credit report. It should add a lot of variability and flexibility to our program, which we haven’t seen before.”
The tool will instantly pull information such as prior bankruptcies, repossessions, dates, and amounts paid. Additionally, an underwriter would not have to manually search through the report, which could take half an hour while a customer is ready to leave with a bike, Henke said.
Another benefit of the tool automating some of the underwriting processes is that it allows for deals to be approved after-hours, Henke added.
“Eventually, there will be a cost-benefit between hiring people to review these documents and increased deal volumes after-hours,” Henke explained. “We do have a full funding team that reviews documents currently during normal business hours. We have extended hours for our West Coast dealers, because we are based on the East Coast, but having the ability to allow our system to give a full approval of a deal at 11 p.m. on the West Coast isn’t at all feasible in our system currently.”
Fuel Capital is based in Naples, Fla., and underwrites leases for every model of motorcycle. The company is also working on a pilot to automatically verify certain documents directly with consumers to speed the verification process. Fuel works with more than 200 dealers.