Innovations in Lending 2024

Innovations in Lending 2024

Summary

This report provides a roundup of innovations within multiple retail banking and wealth management markets, with a particular focus on loans, mortgages, BNPL, and credit cards. The report explores the shifts in customer behavior towards different types of loans including BNPL, mortgages, digital lenders, and credit cards.

The lending landscape has evolved over the years, moving away from traditional, manual processes to automated, technology-driven solutions. Today, advances in technology-such as artificial intelligence, machine learning, and blockchain-have revolutionized the landscape, enabling lenders to perform more accurate risk assessments, offer personalized products, and streamline application processes. The development of microloans and peer-to-peer (P2P) lending has provided access to credit where traditional banks may not operate, connecting borrowers directly with individual lenders. These solutions are most impactful in Southeast Asia and Africa, which have some of the highest rates of unbanked individuals, according to GlobalData’s Market Driver Analytics.

Scope

• Consumers are increasingly expecting greater levels of service from their financial services providers. This has pushed lenders to develop products with a simple, online application and a quick approval process so that customers have access to credit as quickly and seamlessly as possible.
• Financial inclusion initiatives have led lenders to develop alternative credit-scoring techniques for underserved and unbanked populations without traditional credit scores.
• In the mortgage market, lenders have focused on automating the approval and transaction processes, with companies such as Better offering a fully digital process, even through to closure. Additionally, environmental, social, and governance (ESG) mortgages are becoming a prominent product in the market.

Reasons to Buy

• Track competitors’ innovations.
• Identify factors affecting consumer loans and wealth management.
• Unlock analysis of the drivers of taking out loans and lending.