Simplifying post-retirement loan assessment in line with new banking regulations
Background
Currently, if a customer will be 70 years or older during the term of the proposed loan, the banker is supposed to indicate how the customer will make loan repayments post-retirement. However, a detailed discussion and documentation of the customer’s repayment strategy and plan do not currently happen.
To meet NAB’s responsible lending obligations, the new policy requires bankers and brokers to inquire about a customer’s loan repayment strategy post-retirement, verify it, and document it. We call this project “Exit Strategy.”
Banker's platform Loan Assessment tool
Challenge
A loan repayment strategy was used until the new policy was announced. Now, banks require collecting evidence in such complicated conditions. Also, bankers (end users) fear that they will have extra work to do.
I wanted to simplify the banker’s task while ensuring they find it easily at the most appropriate platform location. This was challenging since there are many platforms where different (or the same) data sits, and they don’t communicate well.
Solution
A new tool, Exit Strategy, allows bankers to manage evidence of repayment from applicants over 55 years old or within 10 years of their planned retirement age. My main design focus was “How might we minimise the banker’s effort and time while they are talking to the customer, allowing them to focus more on the conversation?”
Outcome
The outcome is a new Web app tool that contains 3 strategies (non-linear) that mostly auto-evaluated the customer’s eligibility. We leveraged the data to be prepopulated from other platforms and significantly reduced the need for manual input, allowing bankers to help customers apply for loans within 15 minutes. Before the implementation stage, the Business Lending team invited me to present this project, and they adopted my design solution to support the Business Lending experience.