As players in the business have adjusted their holdings, interest in outsourcing services and technology has picked up, industry vendor and ISGN’s CEO Ritesh Idnani told this publication.
“I don’t think in the history of the credit markets you’ve seen a shift like this play out,” he said, referring to the pullback of some of the bigger players on the origination side in a move that has caused the gap to be filled by relatively newer, smaller players, some of whom are advantaged by a lack of legacy concerns.
Also on the servicing side players’ holdings have shifted due to Basel accounting rules and capitalization requirements, creating interest in outsourcing services and automation in this area, Idnani noted.
Outsourcing is attracting interest as it helps players gear up faster as they enter the business or acquire assets, improving processes with the aim of ensuring both quality and efficiency, he said.
Idnani said based on unique loans “touched” by his company its market share has risen to roughly 11% from 7% last year, and he still sees room for growth based on separate data on the addressable market and its potential spending power.
He said among company offerings that have been popular with clients are “mock audits” aimed at preparing for the possibility of a Consumer Financial Protection Bureau scrutiny. There also has been demand for
