Temenos Helps UK Banks Respond Rapidly to Surging Demand for Bounce Back Loans During Covid-19

Press Releases, May 12, 2020

Temenos – Company

GENEVA, Switzerland – May 12, 2020  – Temenos (SIX: TEMN), the banking software company, announced today that its Temenos Infinity digital omnichannel product is enabling UK banks to accelerate loan applications under the UK government’s highly subscribed Bounce Back loans aimed at helping small businesses with immediate funding, as well as the Coronavirus Business Interruption Loan Scheme (CBILS).

UK banks reportedly received over 100,000 requests for the newly announced Bounce Back loans on the first day of the scheme, and the requests are expected to reach £3.3 billion in value. Britain’s small businesses will be able to apply for quick and easy-to-access loans of up to £50,000 while the loans are 100% government-backed for lenders.

Given the scale of uptake for Bounce Back loans, banks need urgently to create a simplified digital journey to cope with the high influx of applications and help speed up funding for the businesses in need. While uptake so far remains low for the UK government’s other loan scheme, the CBILS, demand may be spurred by expected future modifications to the program, making it essential for participating banks to have in place a simple, automated system to receive and process applications.

Des Noctor, Regional Director, UK and Ireland, Temenos, said:

“We are proud to support the UK economy by helping banks provide fast funding to small businesses at a time when they need it the most. Temenos’ advanced AI and cloud technology gives banks the agility required to digitally serve the rapidly changing customer needs and respond immediately to the new government requirements.”

Temenos Infinity allows banks to provide a standardized digital service that simplifies the application process for small businesses and process any volume of applications, easing the workload for bank staff. Using the SaaS mobile and digital solution, businesses applying for loans are able to own and complete their application journey. Through an easy and intuitive user interface, they can start, save, sign and complete their applications at a time that suits them. For lenders, the solution helps ease pressure on existing systems and call centers, while ensuring that all data and supporting documents required for an application are captured, avoiding delays in processing. Temenos Infinity can deliver flexible and agile digital workflows to accelerate customer journeys from loan applications, to account opening and KYC due diligence.

Temenos can also help banks cope with the surge in digital banking volumes by giving customers a personal digital communications channel to connect with their trusted personal advisor within the bank. Temenos Infinity Engage is a secure personal banker service – rather than a chatbot – that allows each bank staff member to service hundreds of customers and greatly increase call center agent productivity. As part of its program for helping clients deal with the impact of Covid-19, Temenos has also launched new functionality for SMEs by automating decisioning options through its Explainable AI (XAI) platform to enable banks to explain in plain language to their customers and regulators how AI-based decisions are taken.

Temenos is already enabling banks deploy a digital experience for customers applying for the US government’s Paycheck Protection Program. Temenos working together as one team with Atlantic Union Bank helped the bank build a brand new digital loan portal specifically for PPP in less than a week.

David O’Connell, Senior Analyst, Aite Group, said:

“UK lenders are struggling to cope with the overwhelming demand for the government’s Bounce Back Loans Scheme and the tight timeframes for opening the scheme to small businesses. Temenos Infinity is an omnichannel product that can be deployed fast as a SaaS solution. During a very similar SMB lending initiative in the U.S., it was capabilities like Temenos’ that enabled an army of lending institutions get capital into the hands of millions small businesses struggling as a result of Covid-19.” 

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