- 1Better's Tinman AI credit decision engine runs as an app inside ChatGPT
- 2Company says up to 95% of mortgage applications can be approved instantly
- 3AI underwriting has gained little traction in small business lending so far
Better, a fintech mortgage lending platform, has previewed an AI underwriting system that lenders can use conversationally inside ChatGPT. Its example prompt: “Can you underwrite this loan?”
According to the announcement, up to 95% of mortgage applications can be approved instantly with the technology, which is aimed at lenders. Companies only need to download the app into ChatGPT.
How it would work
Leah Price, General Manager of Tinman AI Platform, said loan officer teams and banks can log into their ChatGPT Enterprise account, download the Tinman AI credit decision engine app, and connect their guidelines, pricing and CRM. From there they can process, underwrite and fulfill loans nearly instantly, she said.
The pitch
In its announcement, the company called the mortgage industry “riddled with inefficiencies” that hurt consumers, loan officers and lenders. Price said large mortgage aggregators in the broker and correspondent channels charge roughly a 1-2% fee on each loan to underwrite it and deliver it to an institutional investor, and that Tinman is meant to end that, passing savings of thousands of dollars to consumers.
Small business angle
AI underwriting is being seriously considered in consumer lending, but it has not gained much traction in small business lending to date.
Source reporting: deBanked.
