Key webinar takeaways: The Future of Credit Assessments: 2023 & Beyond

Bud recently partnered with TransUnion, a global information and insights company, to host a thought-provoking webinar. The event, titled "The Future of Credit Assessments: 2023 and Beyond," delved into the potential of AI and open banking in revolutionizing the credit assessment landscape. The webinar featured industry experts from both TransUnion and Bud, who discussed the advantages of automating underwriting processes and explored the benefits for financial institutions and consumers alike.

Empowering financial institutions and consumers

During the session, around 200 attendees gained valuable insights into the significant benefits that arise from automating underwriting processes. With the aid of AI and open banking technology, financial institutions can streamline their operations, resulting in faster loan approvals, reduced paperwork, enhanced accuracy, and improved financial inclusion.

The experts emphasized that these advancements are especially crucial for individuals with limited credit history or those who have faced difficulties in accessing credit. By leveraging AI and open banking, finance providers can better verify applicants' income and assess their creditworthiness, enabling fairer access to financial opportunities for the underserved.

The role of open banking

One key aspect discussed during the webinar was the pivotal role of open banking in revolutionizing creditworthiness assessments. Open banking provides a framework through which consumers and financial institutions can securely exchange information on behalf of the consumer. Bud's CEO and co-founder, Edward Maslaveckas, highlighted that the advancement of technology and AI has facilitated this secure data sharing, consequently accelerating the industry.

With open banking, traditional lenders witness an immediate benefit in the form of automation, leading to an impressive 84% increase in processed applications in some cases. Furthermore, the long-term advantages of understanding customers on a deeper level can equip lenders with the insights needed to establish customer loyalty and increase lifetime value. Open banking, therefore, proves to be a win-win solution for financial institutions and consumers alike.

Revolutionizing credit assessments

Gone are the days of lengthy and cumbersome credit assessment processes. Thanks to recent advancements in AI and open banking, creditworthiness assessments have become automated, intelligent, and digital. These transformative technologies are empowering financial institutions to process applications more efficiently, saving both time and resources. 

The promising future

The webinar also shed light on the promising future of AI and open banking in the realm of credit assessments. Emerging trends indicate significant advancements in the field, including customer insight personalization, data optimization, and real-time data integration. These innovations will further refine credit assessments, ensuring a more tailored and accurate evaluation of each applicant's creditworthiness.

Webinar impact and further exploration

The webinar attracted a wide audience seeking to understand the transformative potential of AI in revolutionizing open banking, customer data management, and creditworthiness assessments. For those who missed the event, the recording is available here. 

The future holds even more promise with emerging trends that will personalize customer insights, optimize data, and provide real-time assessments. As AI and open banking continue to evolve, financial institutions and consumers stand to benefit greatly from a more efficient, accurate, and inclusive credit assessment process.

To stay updated on the latest innovations in open banking, it is recommended to follow Bud and TransUnion on LinkedIn.