How a Digital Lending Platform Reduced Their Underwriting Review Time
A mid-market digital lending platform modernized underwriting with direct-from-source identity, income, and tax verification using Compliancely.
REDUCTION IN REVIEW TIME
30-40%
faster underwriting decisions by removing manual lookups and spreadsheet work.
APPROVAL RATE LIFT
10–20%
more approvals for strong borrowers who previously appeared “thin”.
DATA QUALITY
10–20%
Direct‑from‑source verification reduces contradictory third‑party data and improves audit readiness.
“A U.S.‑based, digital‑first lender offering small‑business and personal term loans. Despite a sleek front‑end, underwriting behind the scenes relied on siloed tools and spreadsheets. The team needed a scalable, model‑ready approach that stayed compliant and protected borrower experience so they turned to Compliancely.”
“We moved from a manual, fragmented process to verified identity, income, and tax data direct from the source through a single integration.”
Lila Bennett, Risk Operations Lead
Challenges Faced
Slow & fragmented underwriting
- Manual, multi-step checks in silos
- Vendor hopping for TIN and KYB
- Re-keying data into spreadsheets
- Long cycles; inconsistent calls
Thin files & missing income data
- Bureau data lacks income depth
- Borderline cases escalated/declined
- Limited view of multi-year trends
- Qualified borrowers wait longer
Unreliable third-party data
- Unreliable Third-Party Data Sets
- Indirect, outdated, conflicting
- Low trust forces double-checking
- Fields inconsistent for modeling
- Audit prep slow and uncertain too
Compliancely Solution
Real-time TIN & KYB
- Instant IRS TIN Match results now
- KYB from authoritative sources
- Auto-filter invalid applications
- Clean inputs boost underwriting
IRS transcript access for thin files
- Digital e-consent - no wet signature
- Same-day transcripts - no 4506 delays
- Parsed to structured model fields
- Clear multi-year income insight
Unified risk report
- One view: TIN, KYB, IRS, sanctions
- Single source of truth for teams
- Consistent fields for analytics
- Less swivel work; faster calls
Measurable Results Within Months
The impact was immediate and significant across all key metrics
30–40%
Reduced Underwriting Review Time
By consolidating verification steps and automating data retrieval, the platform significantly accelerated its underwriting process.
10–20%
Increase in Approval Rates
Direct access to verified IRS data enabled the platform to confidently approve creditworthy thin-file applicants who would have been rejected under traditional models.
Downward
Trend in Early Delinquencies
More accurate risk assessment at origination led to better loan quality and lower early delinquency rates.
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KYC fraud is becoming increasingly complex, with synthetic identities and stolen credentials taking advantage of weak onboarding. Effective KYC fraud detection integrates identity verification, sanctions screening, and risk signals to catch fraud early. Compliancely provides this through a unified platform with ongoing monitoring and audit-ready controls.
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