Under the hood of Early Redirect – turbocharging income verification
With open banking, businesses can verify income in seconds, creating smooth and safe onboarding experiences. But how does it work? Let’s look under the hood to see what makes Tink’s Income Check tick – Early Redirect. Marcus Elwin, Associate Product Manager, has the details.
We looked under the hood of Tink’s Income Check to find out how it enables lenders to verify income in seconds rather than minutes.
Associate Product Manager Marcus Elwin from the Tink tech team explains how the Early Redirect feature works in the background to process income flows.
With accurate and speedy income verification, lenders can approve more loans while borrowers enjoy a smoother onboarding process.
One of the most significant challenges in offering great customer experiences is lengthy waiting times for the end user. Early Redirect is the process of directing end users to other parts of the application, while Tink engineering works in the background to complete all parts of the application in parallel instead of in sequence.
We go behind the scenes to find out how the Tink tech team tackled the challenges of building Early Redirect and how it can help your application flow involving income verification go from one minute to just a few seconds. To give you a taste, Associate Product Manager Marcus Elwin explains the inner workings of building Early Redirect and how it can help banks and lenders decrease their decisioning time while onboarding more customers.
Going deeper with Income Check
A few years ago, we released Income Check, a product that detects income streams in order to give banks and lenders a deeper understanding of their customers' finances in real time. We have been working hard on the Early Redirect feature to make sure that those applications with Income Check are as frictionless as it can possibly be.
‘We think this functionality is best suited for someone with a strong vision of their application flow where the end user is authenticated with the bank as early as possible and further guided in the application flow,’ Marcus explains.
Full ownership of the application flow
Early Redirect is about putting our customers in control of the application flow and keep the end user pre-occupied while Tink’s engineering works in the background. It triggers the necessary services immediately, allowing for parallel asynchronous processing instead of sequential processing. As a result, our customers experience significantly reduced flow time, all while maintaining the highest level of data security and integrity.
‘By using a parallel flow, applications can be processed faster and more efficiently, allowing banks and lenders to handle larger volumes by redirecting users to other parts of the flow,’ Marcus explains. ‘Doing this provides a better customer experience. And as Income Check recognises various forms of income, banks and lenders are able to accept more applications,’ Marcus clarifies.
Reduce flow time – from minutes to just a few seconds
With Early Redirect, it takes only a few seconds to complete an income verification. This translates to a more seamless user experience as customers no longer have to wait for the background technology to complete its job, resulting in better customer experiences and increased conversion rates. Marcus elaborates:
‘With Early Redirect, we can fetch information to retrieve the products in parallel. Previously, we could only perform tasks sequentially, but with Early Redirect, we can work in the background to obtain the information. This facilitates faster decision making, reducing the time applicants have to wait for a decision. We can reduce application flow time from minutes to just a few seconds.’
‘What’s more, the Early Redirect feature is applicable to our other risk decisioning products, Expense Check and Risk Insights. Banks and lenders can enhance the user experience by providing a smoother application process and faster, more accurate decisions. Instead of waiting for a couple of minutes to know if they’re approved, applicants will receive their decision in an instant.’
Powering both lenders and borrowers with open banking
Processing loan applications can be a tedious and time-consuming process for both lenders and borrowers. Tink’s Early Redirect feature empowers lenders to take control of the application flow in real time by redirecting end users to other parts of the application – enabling lenders to approve loans based on the most up-to-date information rather than outdated statements.
Early Redirect not only benefits applicants by providing a smoother and faster experience: it also leads to higher conversion rates, meaning lenders are able to approve more loans. In short, a win-win situation.
Open banking is powering the future of lending. Want to be part of the change? Get in touch.
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