Case Study: a major North American consumer finance company boosts profitability with Zoral Robo-Underwriter

Major North American Consumer Finance Company - Customer Case Study

The customer, a major North American consumer finance company, faced the challenge of automating its predominantly manual underwriting and risk management processes to reduce losses, lower operating costs, and profitably scale its online and mobile lending business. To address this, they partnered with vendor Zoral to implement its robo-underwriter solution, utilizing the Zoral decision engine, model library, and other components of its platform.

Zoral implemented its solution in phases, starting with optimizing the offline business before scaling the online operations. The solution integrated advanced models for default, fraud, affordability, and limit management, which automated underwriting and improved decision-making. The results were significant, including a 28% increase in portfolio profitability, a 19% decrease in write-offs, a 32% reduction in customer acquisition costs, and a 31% improvement in online conversion rate, allowing the client to decouple operating costs from growth.