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Vero Technologies Offers Wholesale Financing Solutions for Bank of Springfield's Dealer Network
Objective:
Bank of Springfield lacked an efficient, purpose-built inventory financing management system. They were managing their growing portfolio through a combination of their core banking system and spreadsheets, and were seeking a solution to drive process efficiencies. The Bank’s existing structure did not effectively monitor the inventory of their floor plan dealers. This resulted in manual processing of funding requests, collections, and audits, leading to longer customer wait times, increased risk for the bank and restricted scalability.
Solution:
Bank of Springfield chose Vero's end-to-end system to provide them with a comprehensive solution. The platform allows them to closely monitor borrowers, review funding requests, and improve portfolio performance with built-in risk management tools. The platform also empowers borrowers to manage their line of credit, handle funding requests, transfer documents and verify payments and assets. These features give customers more control over their activity while allowing the bank to monitor line limits and ensure compliance with approved guidelines. With Vero's Loan Servicing tools in place, Bank of Springfield has also been able to save time and money on audits. Within weeks of implementation, the various teams using the platform across the Bank was thrilled with the workflow management tools that enabled them to complete their daily tasks in a fraction of the time they were previously spending.
“Vero Technologies has provided us with a way to scale our dealer lending operations without adding FTE. We are excited to continue to discover additional efficiencies we can gain through the software and provide the dealers with a more hands-on experience with their portfolios.”
- Brandon Griffith, Bank of Springfield's VP Loan Servicing Officer
Risks & Controls:
Bank of Springfield had been conducting floor plan lending for years without any significant updates to their processes. When implementing a new solution, they needed to gain buy-in from their lenders and address concerns about transitioning to a new system. Demonstrating the value-add of Vero's platform, the team moved forward with the project, and within a few weeks, the bank was pleased with the workflow management tools that significantly improved the efficiency of their daily tasks. Initially, the bank faced challenges in completing audits for the new electronic process from an audit and compliance perspective. However, Vero promptly made modifications to the platform and worked closely with the bank to address any functionality gaps, ensuring the system fit their evolving needs.
Implementation:
Product: Files are transferred nightly through an automated process. Vero developed the file posting structure specifically for Bank of Springfield, enabling them to submit these files to their core system. The Loan Servicing Team and Auditing Team currently use the platform.
Timing: Implementation began in October of 2022 and testing began shortly after. By May 2023, the platform went live and the software was successfully rolled out to all of their dealers within three months. Vero provided dedicated onboarding support, led by a customer success manager, to ensure a seamless transition.
Cost: The pricing structure is based on the number of borrowers on the platform. There is a monthly licensing fee with variable rates depending on the number of users in the bank's portfolio.
Looking Forward:
Vero is currently working on a solution and preparing to beta test a feature that will allow the Bank of Springfield's customers to make payments to other individuals using their funding requests. This addresses the bank's problem with funding transfers to sources where the Supplier Portal is not applicable.
With Vero's platform in place, Bank of Springfield now focuses on scaling their floor plan portfolio to drive significant growth, instead of spending valuable time and resources on manually managing thousands of pieces of inventory. The Vero team remains fully engaged in the ongoing success of the Bank's floor plan financing program, continuously monitoring their needs and providing ongoing assistance. Regular meetings between Bank of Springfield and their Vero customer success manager are key to addressing any open items, providing training, and offering support.
To Get Connected:
Reach out to Kaitlyn Shevlin at kaitlyn@banktechventures.com to learn more or get connected with Vero directly by contacting John Mizzi at john@vero-technologies.com.
Bank of Springfield is dedicated to fostering enduring customer relationships through accessible, personalized, and convenient banking services. Headquartered in Springfield, Illinois, BoS offers retail and business banking, financial planning, and insurance services, supported by local experts to assist customers in achieving their goals. Bank of Springfield was founded in 1965 and currently have $1.5B assets under management.
Vero Technologies is a commercial lending platform that partners with banks and credit unions to offer new commercial credit products, without having to invest in new systems and additional headcount.
