By John Flynn, Open Lending President & CEO
Prior to implementing Open Lending’s Lenders Protection, Beneficial State Bank only approved about 30% of its auto loan applications with a pull through rate of less than 15%. We worked closely with the $1 billion, values-based bank in Oakland, Calif., to quickly roll out Lenders Protection and help the bank reach optimal indirect auto lending and fulfill its mission to give consumers greater bargaining power.
According to Charles Elliot, Vice President of Consumer Lending at Beneficial, “The Lenders Protection side of things was handled flawlessly. There were very clearly defined goals and topics to be covered each week.” This resulted in Beneficial State Bank hitting its target launch date and very quickly seeing results.
Elliot explained that since the launch, the results have been amazing! “We have seen an increase of dealer clicks through our indirect channel,” Elliot stated.
Beneficial has experienced a 15% increase in loan approvals and 25% increase in pull-through. Beneficial added more than $10 million to its auto loan portfolio through Lenders Protection, and the amount is growing about $1.25 million each month!
While these programs have grown the bank’s book of auto lending, Beneficial has been using the data as a tool to grow its overall business, too. Beneficial’s lending experts have been able to glean data used in the loan process to help drive indirect auto loan customers into multiproduct users – with close collaboration between Beneficial’s indirect auto loan team and Open Lending’s customer support organizations.
“The goal of this product rollout was a method to capture customers for our retail branches,” Elliot said. “It’s a way to cross-sell in to demand deposit accounts or credit cards or additional direct loan products or refinances that we see on the customer’s credit report.”
Lenders Protection is core to Beneficial’s mission as they look to give better bargaining power to their customers. See how Beneficial State Bank puts their mission to work for them.