Floorplan lending provides dealerships with revolving lines of credit to acquire and maintain vehicle inventory. Servicing these loans involves precise monitoring of payments, fees, collateral, and compliance obligations. When handled manually, these tasks slow operations, introduce errors, and constrain growth.
The lender turned to Decisions to transform its servicing processes through automation. By implementing rules-driven workflows, collateral tracking, and integrated reporting, the company reduced operational overhead while delivering a more consistent and transparent experience for dealer partners.
Challenge
Prior to Decisions, the lender faced:
- Manual processes: Payment posting, fee assessment, and reconciliations were handled manually.
- Operational inefficiencies: Staff consumed by repetitive servicing activities, delaying response times.
- Compliance risks: Errors in reporting and missed deadlines increased regulatory exposure.
- Limited scalability: Dealer portfolio growth strained servicing resources.
- Inconsistent dealer experience: Delays and errors negatively impacted dealer satisfaction and trust.
Solution
The company used Decisions to automate and streamline floorplan loan servicing through:
- Workflow automation: Standardizing core servicing tasks such as payment posting, fee assessment, and reconciliations.
- Rules engine: Applying configurable business rules to enforce lending policies and compliance requirements.
- Collateral tracking: Automating the monitoring of financed inventory and associated data.