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Transforming Student Loan Portfolios: Expert Solutions for Forward-Thinking Lenders

 

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More data, more insight, better informed lending decisions.

Today it is possible to base lending decisions on a student's academic track record, field of study, projected earnings, and future free cash flow with all current and future student loan debt.

The problem with the current system

Hardworking students are being left behind due to the lack of imagination over the last decade of lenders in the private student loan market. Lenders also lack the infrastructure and expertise to make sound lending decisions ‘at scale’ to students without cosigners.
Models limited to credit reports and current income Lenders lack the necessary integrations to make a fully informed risk assessment of students.
Underwriting relies on manual processes Attempting to process lengthy, non-standardized transcripts would be a nightmare for application underwriters to process error free and at scale.
Student risk ignored Current lending models ignore the student’s relevant risk profile.
Technology deficiencies Infrastructure can’t support an in-depth student risk review.

Rules-based model that is updated annually based on post-pandemic student performance data. Combining over a quarter century of education finance experience with data analytic talent.

Einstein offers a turnkey program to unlock insights on student risk to allow lenders to make loans to hardworking students. The evolution of the model will be based on a growing data set using the most advanced predictive data analytics with each passing year. Initial risk assessments will build on predictive models in existence, risk flags used by college administrators and solid risk identifiers. It is the only 100% automated loan origination process that is required to process the high amount of data timely, consistently and error free.

 

Advantages of our model
API-accessible score Einstein will manage its cloud-based, API-accessible Einstein Risk Score for instant decisions that is 100% automated.
Turnkey origination platform Third party loan origination platforms will provide already built student loan applications and API integrations with Einstein.
Annual model updates Annual model updates will improve the student risk assessment with each passing year. Model will be continuously updated based on performance data in the post-pandemic economy.
Advanced data analytics Einstein will use its advanced, predictive data analytics resources to improve the model. Updates to the model will be data driven.

How does it work?

Student applicants will be evaluated on the most insightful, predictive data available from third party trusted sources. Risk assessment will be based on a student’s academics, a student’s future earnings potential, and a student’s projected ability to pay back all student loan debt. The current industry standard relies solely on a cosigners’ current job income and a cosigner’s past credit history, ignoring the student’s risk profile.

Lenders will gain access to a turnkey, 100% automated, instantaneous student risk score informed by reliable, third party sources of data. Annual score updates will be enriched with a growing data set across all clients based on today’s performance data, not yesterday’s pre-pandemic loan performance.

Icon_Performance Based on a student’s academic performance
Icon_FieldsOfStudy Based on a student’s field of study
Icon_EntrySalary Based on the student’s future entry salary
Icon_Payback Based the student’s projected ability to payback total student loan debt over college career

As a lender, what you will get?

Lenders will gain access to a turnkey fully automated, instantaneous student risk score informed by reliable, third party sources of data. Annual score updates will be enriched with growing data set across all clients sets based on today’s performance data, not yesterday’s pre-pandemic loan performance.
  • Turnkey process
  • Advanced student risk assessment
  • 100% automation
  • Powerful annual updates from advanced, predictive analytics.
Tech Life Media

Interested in integrating the Einstein Risk Score to your Platform?

Einstein provides developers with tools that speeds up the integration of their loan origination platform to the Einstein Risk Score.