Q: What is the automated risk review based on?
A: The automated risk review is based on three main information streams:
- Information the applicant states, such as personal and business revenues and expenses, assets, and liabilities;
- Credit score and any negative credit items
- A statistical analysis of the characteristics of a good paying customer based on 18 years of Accion Texas past borrower repayment data.
This information runs simultaneously to produce three results: low risk, questionable risk, and high risk. Low risk loans include the recommended loan maximum, the maximum monthly payment based on stated capacity, and the list of documents needed to underwrite the loan.
Q: Do you make loans for other organizations?
A: If you choose to outsource the underwriting of a loan to Accion Texas, we will recommend denial or approval based on a cash flow analysis, bank statement analysis and debt coverage ratio. We provide that analysis to you, along with a summary supporting our recommendation for approval or denial. You make the lending decision because you’re funding and servicing the loan.
Q: How do I access the software?
A: MMS is a software-as-a-service that you access via a secure website with a login and password. Your data is stored on our servers.
- Data is encrypted
- Backed up every 24 hours
- Data room is double-locked
- Antivirus software is used
- Systems are redundant
- System has multiple hard drives so it isolates a failure
Q: Do you only make microloans?
A: While our core lending and underwriting is $50,000 and below, Accion Texas regularly underwrites loans from $500-$250,000 and above.
Q: How fast is MMS?
A: The preliminary automated review provides a risk assessment within seconds. You just need to import a TransUnion credit report, which takes about five minutes. All the information needed for the preliminary risk review is provided by the borrower in the online application and on the credit report.
If you choose to have a file underwritten by MMS, we take 2 business days to send you our loan recommendation, provided we have all the documentation needed to underwrite the file. The required documents list is created automatically in the software so you and your applicant know what documents need to be submitted to us.