TRUPOINT Partners Creates the ‘Next Generation’ of Fair-Lending Review: Consumer-Loan Analytics

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With its new capabilities, TRUPOINT Partners can give financial institutions fair-lending insights into their consumer-loan products and practices in minutes.

TRUPOINT Partners CEO and President

Trey Sullivan

This is the next generation of fair-lending review. Financial institutions simply provide us their consumer-loan data files, which are then quickly analyzed for disparities among consumer-loan applicants, based on gender or ethnicity.

TRUPOINT Partners has developed a way to help financial institutions easily determine if their consumer-loan products and services are complying with critical fair-lending regulations.

The Charlotte-based data-analytics firm created a series of proprietary algorithms to help banks look for interest-rate or contract-term disparities in their consumer-loan portfolios. These new analysis reports further augment an already extensive library of more than 60 fair-lending and peer-analysis reports.

“This is the next generation of fair-lending review,” said Trey Sullivan, president and CEO of TRUPOINT Partners. “Financial institutions simply provide us their consumer-loan data files, which are then quickly analyzed in our TRUPOINT Analytics system for disparities among consumer-loan applicants, based on gender or ethnicity.”

TRUPOINT Partners links consumer-loan data to the latest census information to create reports showing the geographic distribution of all consumer-loan products. This helps compliance officers see the numbers of consumer loans made in high-minority census tracts so they can adjust their strategies to better serve those communities and avoid redlining risks.

“Fair-lending requirements are not just for HMDA filers,” Sullivan said, referring to the Home Mortgage Disclosure Act. “Consumer-loan data is trickier to analyze than HMDA data, which creates a problem for banks that want to ensure they are in compliance. Many financial institutions review the files one-by-one, which is a time-consuming process that is not consistently accurate. With our new capabilities, we can give financial institutions fair-lending insights into their consumer-loan products and practices in minutes. There’s no software to buy or install, no complex training or tools, and no detailed integration. We make it easy.”

TRUPOINT Partners’ newest reports include a detailed analysis of all product types by rate and contract term. Gender, ethnicity and location codes are appended to all loan records prior to analysis. These reports enable institutions that are not required to report home mortgage data to perform self analysis for fair lending compliance.

About TRUPOINT Partners: TRUPOINT Partners specializes in data analytics to help financial institutions with compliance, marketing and management. Its cloud-based TRUPOINT Analytics platform enables financial institution executives to access, within minutes, hundreds of analytics and reports using public, private and proprietary data sets. Visit http://www.trupointpartners.com or call 704-401-1730 for more information.

For more information about TRUPOINT Analytics, visit http://www.analytics.trupointpartners.com or contact Andy Barksdale at 704-944-1031 or abarksdale(at)trupointpartners(dot)com. Compliance officers are encouraged to visit TRUPOINT Analytics to receive free fair-lending reports for their institution.

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Andy Barksdale
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