In order to keep pace with smaller and more agile competitors, the largest banks in the U.S. banking industry have been undergoing massive technological enhancements to loan origination and accounting systems. Most major banks have formed strategic partnerships with FinTech development and software firms to build customized solutions. However, these technology companies typically lack commercial credit expertise which creates downstream challenges with implementation of these customized solutions. 


Without dedicated credit-trained resources to efficiently test and remediate loan and data issues, these challenges extend to various lines of business, compliance testing and regulatory reporting. The Banking & Regulatory Solutions (BRS) was engaged by a large U.S. bank to provide their credit expertise to an enterprise wide technological transformation.


The servicing system in question had to have every account manually reviewed to verify appropriate boarding onto the system. After verifying the loan was loaded properly into the system, team members were required to unwind all transactions back to system inception and recalculate all distributions to investors manually. The team spent a year within the bank to remediate loan and data conversion issues.


Our team provides the needed commercial credit and banking expertise to provide advisory services at the highest level. Our team quickly mobilized thirty-five team members to three different office locations throughout the country to support a remediation assignment after a hastily carried out software implementation. The BRS team consisted of a Project Manager, Team Lead, Quality Control Specialists, Remediation Specialists, and Servicing team members working on large and complex commercial loans.


The BRS team successfully remediated the loan boarding and investor distribution issues for the entire portfolio, approximately 10,000 loan files accounting for over $100 billion in assets reviewed. Our team’s support freed bank staff to revamp training of full time employees on policy and procedures, alleviating these onboarding and distribution issues going forward.


In addition to filling the immediate knowledge gap during the implementation, our team partnered with the bank to develop quality control measures on the new software for internal and external regulatory reporting. As a result, our team moved into a new technology support role within the bank that resulted in our involvement in various additional technology advisory assignments.