LoanPro unlocks unique and differentiated loan and credit card programs for financial organizations through transaction-level credit. This innovation sets a precedent for the financial products that we should come to expect.
SALT LAKE CITY, Oct. 23, 2023 /PRNewswire/ — LoanPro, the market-leading API-first lending and credit platform, announced at Money 20/20 USA a first-of-its-kind, patent-pending innovation called transaction-level credit. This innovation unlocks unique capabilities for financial organizations who provide credit card and line-of-credit products by enabling card programs to handle transaction approvals and apply different financial mechanics based on transaction-specific attributes.
Upon looking at the credit card market, you quickly find a lot of credit card programs that are essentially identical with little differentiation through rewards programs. All credit card products in the market today struggle with differentiation because the interest rate and financial details must remain consistent for all transactions. This inflexibility changes today.
Transaction-level credit creates unique innovation by enabling different actions based on the category of goods being purchased, specific merchants, geolocations, and other factors. Once transactions are approved, cleansed, and categorized, LoanPro’s real-time credit ledger applies unique rules based on configurable logic controlled by the credit program. These rules can apply to approval or denial at the card level and unique interest rates and abatements at the transaction or desired grouping level.
“Consumer preferences and expectations continue to evolve at amazing speed. The borrower today is seeking unparalleled levels of personalization from their financial service providers. The introduction of transaction-level credit has revolutionized our industry, moving beyond generic, one-size-fits-all card programs. This breakthrough now empowers the banks and fintechs of the future to stay ahead of the ever-changing needs of borrowers,” explained LoanPro’s Chief Innovation Officer, Nate Bray.
“Transaction-level credit opens a world of possibilities for personalization above traditional credit card and line-of-credit products. We’ll start to see things that we’ve never seen before. Imagine the ability to highly personalize credit terms. For example, a corporate card aimed at small businesses could provide preferential interest rates on specific transactions like the purchase of physical equipment. So, a baker could get sixty days interest free and a lower interest rate when they purchase equipment such as stoves and mixers but standard interest rates on other purchases. Or a consumer-focused card might offer preferential terms on specific transactions to a military member’s family during deployment. Meaning things like groceries and essentials could be purchased interest free within a 10-mile radius of the family’s home. Now card programs can stand out in more ways than just the rewards they offer, which is only the beginning.” said LoanPro’s Co-Founder & CEO, Rhett Roberts.
Transaction-level credit is available today as a functionality of LoanPro’s infrastructure for credit card and line of credit programs. LoanPro is combining their real-time credit ledger, best-in-class card servicing and card management features, and direct integrations to the top card issuer processors—all with the goal of lowering the barrier to entry for any company that wants to enter the lending and credit space or improve their existing programs and increasing financial literacy by providing transaction transparency and insights into interest calculation and accrual.
LoanPro is the market-leading modern lending and credit platform enabling financial organizations to innovate quicker, driving increased loan volume while optimizing operational efficiency. Today, 600+ financial organizations use LoanPro to holistically uplevel their borrower, agent, and back-office experiences. LoanPro’s mission of providing the platform to innovate the future of finance is currently enabled through its composable architecture, allowing lenders to enhance their origination, servicing, collections, and payments using the foundation of a modern lending core.
To learn more visit loanpro.io.
Media Contact: Colton Pond
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