Imagine being able to open a new loan with the click of a button. That is what CU*Answers has on the horizon with instant CD-secured loans through online banking. The feature works by securing unpledged certificate funds to instantly qualify for a loan in that amount. The member is presented with the loan terms in It’s Me 247 Online Banking based upon the current amount and term of the CD. The term cannot exceed the maturity date on the certificate. The credit union can charge a fee as desired.
This project will include a brand new integrated eSigning experience so credit unions can attach a new custom form to be generated and presented to the member as part of the setup process. Once the member signs, the money is immediately transferred to the sub-account the member selects.
CD secured loans are only the beginning. This process has the potential to be applied to other loan types as well – share secured, signature, new/used auto, and more. The project is slated for an October 2020 release.