When people lose their income, they lose the ability to repay their debts. With all the layoffs and everyone earning less money, there really is no recourse for lenders but to allow periods of forbearance, deferral, and modification. Your loan servicing software needs to be able to allow for rapid review and modification of your loans. Increasingly greater measures are being enacted to help slow the spread of the virus, and that has an immediate effect on the liquidity of any collateral on a loan. You can’t foreclose and sell a house if there’s no way for someone to buy it. Repossessing a car and selling it will be very hard if non-essential services are shut down and people that might have been buyers are also feeling serious financial hardship. You can’t take the appliances from someone’s home amidst the outbreak without a variety of risk. At this point, we’re all addressing the fact that the economic situation has changed beyond anyone’s ability to control it.
Showing posts from March, 2020
- Other Apps
When choosing a good loan servicing software system to manage and calculate your loans, you want to be sure you’ll be able to do manage your loans quickly and without errors. With your first few loans, it’s no big deal to spend 10 or 20 minutes making sure the numbers are right. Once you get ten or twenty or a thousand loans, spending twenty minutes per loan is no longer an option. Moneylender Professional is loan servicing software built with a set of manual and automatic configuration mechanisms to allow you the fine-grain per-loan management tools you need to handle every situation along with a set of tools for bulk operations that might apply to many or all loans under management. Developed under close guidance from the lenders that use it, every facet of Moneylender is built to make servicing loans faster and easier. No loan servicing system would be worth much if lenders couldn’t use it to effortlessly produce supremely professional statements, letters, notices,
- Other Apps
Our sponsor bank has granted us a new higher processing limit. The first and fifteenth of the month are always big days for loan payments, and those two days account for roughly 50% of the total monthly payment volume. The payments scheduled for March 1 st put is very close to our cap, and I reached out to the bank a few days in advance to let them know a temporary increase might be needed. The bank raised the processing limit temporarily for the big batch on the 1 st of March, and later approved our application to make the increase permanent. This gives us space to grow for at least six more months before another limit increase is likely to be necessary. Since AutoPay first started as an Alpha trial program about eighteen months ago, we’ve processed over a quarter million dollars in over 600 payments . There are well over a hundred borrowers using AutoPay to get online access to their loans and to make ACH payments directly from their bank accounts. All kinds o