Driving efficiency in auto lending: The power of AI and automation

If anyone understands scale, it’s auto financiers. If you are one, you may know that worldwide, an estimated 92.4 million vehicles were sold in 2023. About 80% of new US vehicles are financed. That means each year, you process and fund millions of auto loans and their supporting documents — often still in paper formats. Unfortunately, this also translates into millions of manual processing hours spent on the 40- 80 pages of paperwork per loan, as well as checking that paperwork for completeness, corrections, and compliance.

That’s why auto financiers are accelerating their adoption of end-to-end digital and AI-powered, smart automation. After grappling with manual processes and physical documents for decades, AI is rapidly advancing solutions and urgency. It’s becoming clear that change is imperative to future viability — to reduce cost, gain efficiency, and achieve scalability. A Deloitte survey reveals that 86% of financial service IT leaders believe AI will be very or critically important to their business’s success in the next two years. For auto financiers, digitization has now become mission-critical.

Read more on Auto Finance News.