Case Study: a large bank achieves higher SMB loan approvals and lower charge-offs with Scienaptic AI's underwriting platform

Growing SMB lending portfolio using AI powered underwriting platform

The customer, a large bank, was struggling with high delinquency rates and an inability to grow its SMB lending portfolio without increasing risk. Its approval rate was stalled at 40% and its charge-off rate was 3.5%, a situation complicated by ineffective data from four sources comprising 7000 variables. To address this, the bank partnered with Scienaptic AI and deployed its AI-powered underwriting platform on-premises.

Scienaptic AI's solution consolidated the 7000 variables into 150 effective features and augmented the data through its Lexis-Nexis partnership. Using its deep credit modeling platform, Scienaptic built an ensemble of AI and ML models deployed in a champion-challenger mode. This implementation allowed the large bank to increase its approval rate by 29.4% and dramatically reduce its charge-off rate to 1.29%.