KeyBank, one of the U.S.’s largest financial services companies, has modernized its non-real estate consumer lending process with Oracle.
KeyBank provides deposit, lending, cash management, and investment services to individuals and businesses in 15 states through a network of 1,000 branches. With Oracle Banking Originations, the bank can now service loan accounts in real-time from the initial application through to payments and collections, helping eliminate delays, and improve customer service.
“At KeyBank, we understand you cannot ‘kick the can’ on modernizing legacy banking systems if you wish to remain competitive, foster innovation, and maintain operating costs,” said Kim Snipes, KeyBank’s, CIO of Consumer and Digital. “Financial institutions must implement modern, modular API-driven real-time systems. Oracle provided the foundation we needed to accelerate our digital transformation efforts across our consumer-facing digital channels and key enterprise operations. With Oracle, we were able to successfully move an active banking portfolio to a new system without interruptions to our customers.”
KeyBank has worked closely with Oracle since the launch of its consumer digital banking platform in 2017. Since then, it has expanded its digital servicing capabilities into originations using Oracle Banking technology, which provides the orchestration and modern underwriting workflow needed to support real-time decisioning for consumer deposit and credit card accounts. With that enhancement, KeyBank customers are now able to open a checking, savings, or credit card account in as little as five minutes. To bring this modern digital experience to more product areas, KeyBank recently expanded its use of Oracle to include its non-real estate loan servicing and collections.
KeyBank’s legacy non-real estate loan system was difficult to maintain and relied on manual processes, putting a strain on its back-end operations. After acquiring First Niagara Bank in 2015, KeyBank needed a way to bring together the two firms’ different loan servicing, collections, and recovery systems. To address that challenge, KeyBank and Oracle worked together to implement the Oracle Banking Originations and its supporting applications for non-real estate servicing and collections while addressing stringent US regulations.
KeyBank’s real-time loan servicing capabilities now provide complete, straight-through processing and integrated workflows that help reduce operating costs. Oracle’s modern user interface streamlines the back-office experience and the shift from batch processing to real-time data processing helps ensure the collections team is not contacting a customer who may have recently completed a payment.
“Oracle and KeyBank have a long history working together to evolve KeyBank’s technology to address their growing business needs,” said Sonny Singh, executive vice president and general manager, Oracle Financial Services. “KeyBank is a proven frontrunner in its commitment to transform its legacy systems into modern digital solutions delivering more self-service capabilities for its customers. Our new loan servicing solution operates in real-time and replaces the old way of offering and managing loans, such as outdated manual processes, with customized offers and instant, digital payments.”
In addition to originations, KeyBank has leveraged Oracle technology to launch new digital capabilities in the wake of the pandemic and build its national digital bank tailored to physicians and dentists, Laurel Road for Doctors.
