Misys

Misys opens crowdlending door for banks




Banking software provider Misys has launched a new crowdlending module to enable retail and corporate banks to grow their lending business.

Misys FusionBanking CrowdLending will help institutions to deliver funding to all customers, ranging from individuals to SMEs and large corporations.

The move will open the door for banks to claim a stake in the global loan origination market, which it estimates could be worth approximately £400bn each year.

“Alternative finance has made its mark,” said Simon Paris, president at Misys.

“Overall loan volumes are on the up, but a growing and increasingly relevant slice of the market is now being processed by independent [peer-to-peer] providers.

“With traditional lending vehicles also under pressure from marketplace lenders, banks risk missing out.”

The new platform will enable banks to bring other lenders, individuals and asset managers to a wide variety of borrowers.

Loans are originated off balance sheet and investors will benefit from established bank infrastructure to minimise risk.

The firm claims its in-house processing will boost cost-efficiency and ensure competitive rates for borrowers.

“Our approach enables banks to capture more of the opportunities in this market, and to de-risk, disrupt and quickly grow in this competitive space,” Simon added.

“Crowdlending with Misys is a digital leap that banks can make now and it is a leap that could see them play a significant role in boosting SME funding – an area that has been underserved to date.”

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