We live in the age of abundant data, and many sing its praises. It can be beyond easy for someone to look up another person instantly and find out all sorts of personal information about them.
However, that doesn't mean that all of the data you can find about a loan applicant is relevant. In fact, without the right guidance, all of these alternative data sources could be simply confusing and distracting.
A recent Wall Street Journal article quoted from attorney Persis Yu of the National Consumer Law Center. The article looked at various companies that are looking to create higher quality loans based on user-generated information and seemingly small details. But according to Yu, this isn't a guarantee of quality.
It's important to understand the distinction at play here. While some of the obscure information generated by a full examination of someone's data may be important, lenders need to realize that their clients are often working on a time table, and as such need a decision sooner than later.
Even though connecting all available information seems to be popular in legal matters, even in cases like divorce, as the Huffington Post says, there's still a need for someone to help your firm realize exactly what is worth paying attention to the most. Like applying for loan, divorce is a process where every bit of information generated by a person can be reviewed in a different context.
Application processing software can help your company learn more specifically what it can judge your customers by and how to take only the best candidates for future loans. There's a lot of uncertainty out there, but the right software can make the process of deciding which applications to accept much simpler.