Digital Insight Corp., an Internet banking software company based in Calabasas, Calif., said Friday that it is buying AnyTime Access, whose automated call centers handle loan originations and customer service for financial institutions.

A key element of the purchase of Sacramento, Calif.-based AnyTime Access would be its 24-hour call center, which uses software to let customers apply for loans online. One of the 100 loan officers on staff steps in as needed to approve or deny a loan.

Anytime Access, with 170 financial institution customers, and Digital Insight, with 739 bank and credit union customers, have a 25% overlap of customers. Both companies cater to financial institutions that have an average of $450 million of assets.

John Dorman, who is the chairman, president, and chief executive officer of Digital Insight, said the purchase is a "rich opportunity" to cross-sell loan and deposit products.

Loans originated online are expected to grow to 9.9 billion transactions by 2001, according to Needham, Mass.-based Tower Group. Already there are 250 million loan applications a year, generating a market of $36 billion.

The AnyTime acquisition, a stock-for-stock exchange of 2.1 million shares for $140 million, is expected to close in 30 to 45 days. Digital Insight's stock closed Friday at $51.25, down $19 from $70.25 a week earlier.

Another prong of Digital Insight's expansion into lending is new software that it plans to pilot with two customers in the second quarter and begin offering in the third quarter. Axis Online Lending was created by San Diego-based HNC Software Inc.

"We see a lot of opportunities for selective acquisitions to both consolidate our lead in the market share and expand our product line into all areas of financial services, including brokerage and insurance," Mr. Dorman said.

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