Stipulation (Stip) Collection is Killing Your Auto Loan Business. 

As an auto lender, you're always looking for ways to improve efficiencies, increase loan volume, and boost profitability. One area where many lenders struggle is in the collection of documents and stipulations. Manual document and stip collection is a time-consuming and often frustrating process for everyone involved. But there is a better way. By digitizing document collection, you can improve efficiencies, reduce errors, and win more business from dealers.  

The Problem with Manual Document and Stip Collection

The traditional process of document and stip collection involves a lot of manual effort. Lenders send out requests for documents and stipulations via mail, email, or fax. Dealers and borrowers then need to gather the necessary paperwork, which often involves multiple trips to the dealership, the DMV, or other locations. The lender then needs to review and process the documents, which can take days or even weeks. This slow and cumbersome process can result in delays, errors, and frustration for all parties involved.  

The Benefits of Digitizing Document Collection

By digitizing the document collection process, you can streamline the entire process, saving time and reducing errors. Here are just a few of the benefits of digitizing document collection:
  1. Faster Turnaround Times - Digital document collection allows for a faster turnaround time, reducing the time from application to funding. With documents and stipulations available electronically, lenders can easily review and process them from anywhere, at any time.
  2. Increased Efficiency - Digitizing document collection allows for a more efficient process. Lenders can automate document requests and reminders, reducing the need for manual follow-up. Documents can be received and reviewed quickly, eliminating the need for printing, scanning or even physical transportation of paper documents.
  3. Reduced Errors - Manual document collection is prone to errors, such as missing or incorrect documents. Digitizing the process can reduce these errors through automated checks and validation. This can save time and reduce the risk of errors causing delays or loan denials.
  4. Improved Customer Experience - A faster and more efficient document collection process leads to a better customer experience. Borrowers appreciate a streamlined process that reduces the amount of time and effort required to complete a loan application.
  5. Increased Business - By digitizing document collection, lenders can offer a faster and more efficient process to dealers, leading to increased business. This can result in higher loan volumes and increased profitability.

How to Digitize Document and Stip Collection

The process of digitizing the collection of documents and stipulations can seem daunting, but it doesn't have to be. There are several steps you can take to make the transition to a digital process:
  1. Evaluate your current process - Understand your current document collection process, including the types of documents and stipulations you typically request.
  2. Choose a technology solution - Research and choose a technology solution that meets your needs. Look for a solution that enables customers to upload documents securely through their cellphones via a mobile-friendly interface and that allows for automated document requests and reminders, electronic signatures, and secure document sharing powered by automated workflows.
  3. Integrate with your existing systems - Integrate your new technology solution with your existing loan origination system, CRM, or other systems to ensure a seamless process.
  4. Train your staff and dealers - Train your staff and dealers on the new digital process. Ensure that they understand the benefits and are comfortable with the new technology.
  5. Monitor and refine - Monitor the new process and refine as necessary to ensure optimal performance.
Manual document and stip collection can be a burden on auto lenders, leading to delays, errors, and frustration for all parties involved. By digitizing document collection, lenders can improve efficiencies, reduce errors, and win more business from dealers. While the process of digitization may seem daunting, the benefits are well worth the effort. By taking a step-by-step approach, lenders can successfully transition to a digital process and reap the rewards of a more efficient loan origination process.

Lightico's Solution for Secure Document & Stip Collection

At Lightico, we understand the challenges faced by auto lenders when it comes to document and stipulation collection. That's why we've developed a digital completion platform specifically designed for auto lenders. Our platform allows lenders to automate document and stipulation requests, collect electronic signatures, and securely share documents with dealers and borrowers. The platform can be used standalone or fully integrated with your loan origination system and can be customized to meet the unique needs of each lender. With Lightico's digital completion platform, lenders can streamline their document collection process, reduce errors, and increase loan volume.

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reviews"Great tool to expedite customer service"

The most helpful thing about Lightico is the fast turnaround time, The upside is that you are giving your customer an easy way to respond quickly and efficiently. Lightico has cut work and waiting time as you can send customer forms via text and get them back quickly, very convenient for both parties.

"Great Service and Product"

I love the fact that I can send or request documents from a customer and it is easy to get the documents back in a secured site via text message. Our company switched from Docusign to Lightico, as Lightico is easier and more convenient than Docusign, as the customer can choose between receiving a text message or an email.