How credit unions use AI to compete with fintech lenders
7 Nov 2021
Northern Hills Federal Credit Union is using artificial intelligence to help it approve more loans.
The $127 million-asset credit union in Sturgis, South Dakota, has partnered with the New York City-based Scienaptic to build an AI-derived loan decisioning tool that utilizes machine learning to vet applications that might have otherwise been delayed. This enables it to better compete with other lenders that emphasize quick decisioning.
“Members don't want to take the time to come into the credit union, or even fill out an application online and wait a day or two ... to find out whether or not they've been approved because other larger institutions and fintechs are giving them instant gratification,” said Floyd Rummel III, CEO of Northern Hills.