The loan origination and management process requires complex calculations, evaluations, and meticulous attention to detail at every step in the life of the loan. During management, lenders must also gather certain data routinely for accounting purposes. Necessary data can include:
- Checkbook entries
- Earnings information
- Loan transactions
- Receipt reports
Traditional lending processes can require your team to perform tedious, time-consuming work to study the loan, complete calculations, and produce the correct numbers and evaluations for your company’s general ledger or other accounting needs. But, by using robust lending software with built-in accounting features and integration capabilities, you can significantly boost your team’s productivity and simplify your loan management processes.
The biggest advantages of loan management software with accounting features and capabilities include:
Time Savings
Loan management software with customizable accounting capabilities and features saves lenders from the extra time it would take to manually study the loan and export the appropriate data for accounting purposes. Although many businesses offer lending services to their customers, each business or company has unique needs related to data collection and reporting. Calculating and exporting data manually requires meticulous, time-consuming effort from your team.
To save your team and your customers time, your lending software must be able to quickly (and accurately) generate customized reports based on your specific needs and easily integrate with nationally recognized accounting packages, such as:
- Intacct©
- MAS200©
- Microsoft Dynamics©
- QuickBooks©
- Sage©
absVision, the loan origination and management software from Allied Business Systems, does precisely that for businesses of any size. Whether your company requires elaborate or simplified reporting features for your accounting needs, absVision has the capabilities you need to avoid manual report production and start saving time.
Accuracy
When a person — even a certified expert in their field — performs a work-related task, there is always the chance that their work will include an error. Error comes with being human, and manually reporting or calculating accounting data in the lending process involves enough variables to increase the likelihood of mistakes and miscalculations, significantly and negatively impacting the loan, the company, and the customer.
When accurately configured, however, algorithms always produce correct calculations, figures, and reports. Solid, robust lending software with well-designed algorithms eliminates the possibility of creating incorrect reports, documents, or financial statements, saving your team and your customers from frustration and the unnecessary time and effort it would take to identify and correct errors.
Compliance Risk Reduction
In addition to avoiding human-based errors throughout the life of the loan, high-quality loan management software also helps prevent your company from experiencing compliance risks. With every loan, lenders must comply with legal and ethical protections established by industry leaders and state or government officials. At every point in the lending process, your LOS should support your compliance efforts by tracking activities, recording payments and payment histories, and producing accurate reports to keep you in line with the laws, rules, and regulations in place for your specific industry.
An LOS with comprehensive accounting-related capabilities that produces accurate calculations, ensures appropriate data reporting or document generation, and easily integrates with third-party accounting software, strengthening your ability to abide by the laws pertaining to your company and helping avoid any violations and subsequent penalties throughout the life of the loan.
Business Growth
It’s quite simple: the more capable your lending software is, the more opportunities you have to originate and manage additional loans. More loans mean more business and revenue for your company. Using loan origination and management software with solid accounting features and third-party integrations will enhance your lending processes, increasing your team’s ability to carry out the process and serve your customers.
Allied Business Systems is your source for absVision, the loan management software that delivers the accounting solutions and capabilities you need to boost business and serve customers.
Learn about all the ways absVision can benefit your accounting needs by speaking with an ABS expert today: 800-727-7534
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