Baker Hill, a leading financial technology provider in delivering solutions for loan origination, risk management and analytics, has partnered with Alloy, an identity decisioning platform, to help financial institutions verify more prospective borrowers digitally and ensure compliance throughout the loan origination process.
Through the partnership, financial institutions using Baker Hill NextGen® can now leverage Alloy Onboarding, which features a single-API identity decisioning platform, connecting multiple data sources into customized workflows during account origination. As a result, banks and credit unions can verify prospective borrowers quickly and accurately with fewer manual reviews and less fraud while complying with KYC and AML requirements. With integrations to more than 170 data sources, Alloy also gives Baker Hill’s financial institution clients more flexibility to use the fraud prevention and identity solutions they prefer in their loan origination workflows. Additionally, Alloy makes it easy to incorporate new data sources or adjust workflows, eliminating the need for community financial institutions to rely on coding or costly programming to make changes.
“There’s been nearly a 7 percent increase in lending fraud among small and midsize businesses since 2020 and according to a 2021 report by Aite-Novarica Group, only 31 percent of lending institutions had negligible rates of fraud incidence,” said Mike Horrocks, Vice President of Product Management at Baker Hill. “At the same time, many community banks and credit unions are focused on lending outside of their traditional markets to expand their reach, which can expose these institutions to added risk. By partnering with Alloy, Baker Hill helps minimize risk and time spent on manual reviews so financial institutions can generate loan growth with confidence, even in new markets.”
“For community financial institutions to remain competitive among borrowers, offering a seamless digital lending experience from day one is crucial,” said Brian Bender, VP of Strategic Alliances at Alloy. “Together, Alloy and Baker Hill make it easier for banks and credit unions of all sizes to provide a world-class experience for borrowers while mitigating the risk of fraud and ensuring compliance. We are proud to work with an industry-leading fintech like Baker Hill and look forward to empowering their financial institution clients to accept more loan applicants without additional fraud risks.”