Fiserv and ChannelNet have added a feature to LoanLink, their borrower self-service tool, that lets distressed consumers apply online to restructure their mortgage or installment loans.
Built on ChannelNet's SiteBuilder software under a partnership announced last year, Fiserv's LoanLink already allowed borrowers to make online payments, receive loan payoff information, view transaction history and update personal and financial data.
Fiserv data show that if consumers attempt to modify loans online, the average workout time is reduced to three weeks instead of the typical two months, said Monica Orluk, the director of sales engineering in the lending solutions division at Fiserv, in a press release.
"Since most consumers do banking, bill paying, shopping, and more online, it makes sense to let them manage their own financial hardships online too," she said.
There are cost benefits too, Orluk said. "Just in postage, lenders save an estimated $22 per modification." The convenient feature helps improve the borrower-lender relationship and customer retention as well, Fiserv said.