Online lending platform Nelnet (NYSE: NNI) announced on Monday it is bringing a new servicing option to fintech lending platforms. According to Nelnet, that Nelnet Loan Servicing will leverage the experience, scale, and personnel of its existing servicing business with technology enhancements to meet the unique needs of fintech companies with primary and backup servicing.
Nelnet reportedly provides servicing for more than $455 billion in loans for 16.2 million borrowers. The company reported that to support the fintech industry’s rapid growth, lenders require a servicing partner that is highly flexible to maintain a consistent customer experience at scale and that brings the financial strength and stability required by investors. The company noted that Nelnet Loan Servicing is well positioned to meet both of these needs. Jeff Noordhoek, CEO of Nelnet, stated:
“Nelnet provides a tested and scalable servicing partner for loan originators that are looking to grow. We have developed an expertise in serving complex, highly regulated assets. We believe we can leverage this expertise to serve new asset classes.”
Nelnet then noted that the systems that support loan servicing are being migrated to a cloud-based microservices framework, where integration is key and customer experience comes first. The core services of the solution are a foundational set of RESTful APIs that accept payments, manage customer information, configure loan programs, deliver lender services, reconcile transactions, handle communications, and support innovative user experiences with artificial intelligence enhancements.
Noordhoek then added that Nelnet Loan Servicing is already attracting interest from origination and investors alike and the company will be announcing new partnerships soon.