A Leap Into AI-Driven Underwriting Pairs Origence & Zest AI

Credit union executives have enjoyed a streak of auto loan gains, as recent reports showed the industry crossed the $500 billion-threshold for auto loan balances as of March 31.

The technology CUSO, Origence and automated underwriting company Zest AI are joining together to help push those auto loan balances even higher and at a faster rate with a new AI-based underwriting technology model called Zest Auto.

On Tuesday, the Irvine, Calif.-based Origence announced the new offering, which not only expands the partnership between the two organizations, but aims to bring the next generation of lending technology to credit unions.

According to Tuesday’s announcement, Zest Auto integrates Zest AI’s machine learning technology with Origence’s consumer origination platform for Origence credit union clients to “make it easy and accessible for credit unions to get started with powerful AI technology for automotive loan origination.”

“The new Zest Auto technology expands the decisioning options available to credit unions, solving the need for lenders to make faster, more accurate decisions, while approving more loans with minimized risk. Initial data gathering by Zest AI has shown an increase of up to 20% in auto loan approvals and reaching over 50% automation,” the statement read.

“Origence is excited to partner with Zest AI and be the sole provider of Zest Auto. Zest is the gold standard in AI-driven underwriting solutions, and now it’s seamlessly integrated into arc OS — our flagship account and loan origination platform,” Brian Hendricks, chief product officer at Origence, said. “Decisioning speed plays a critical role in the borrower experience and with Zest AI and Origence working so closely together, lenders will have the flexibility and underwriting capabilities to make instant decisions, confidently.”

The announcement claimed credit unions using Zest Auto can lift approval rates by combining Origence’s CUDL indirect lending network with Zest AI’s technology. “Credit unions will have access to the tools needed to continue their mission to provide fair and equitable credit,” according to the announcement.

“In today’s economic climate, credit unions need access to simple and affordable technology that will boost their efficiency and enable them to continue lending to their members across the credit spectrum. In doubling down on our partnership with Origence through this new offering, we’re thrilled to enable better credit decisions for credit unions of all sizes,” Zest AI’s Head of Product, Nidhi Panday, said.