Blend Announces New Income Verification Product to Drive More Proactive and Equitable Banking Decisions

Rhea-AI Summary

Blend (NYSE: BLND) has launched its new Blend Income Verification tool, providing instant income verification for mortgages, consumer loans, and deposit account openings. The product consolidates various data sources to streamline credit risk assessments, benefiting over 25 clients including major banks. This innovation addresses the challenges faced by gig economy workers in securing loans. Blend's solution minimizes the need for traditional documentation, enhancing efficiency in loan application processing and underwriting.

Positive

• Launch of Blend Income Verification tool streamlines income verification for financial services.
• Over 25 clients signed up, including one of the five largest banks in the U.S.
• Product integrates with Fannie Mae and Freddie Mac validation services for mortgages.
• Reduces processing time by pre-populating loan applications with verified data.

Negative

• None.

SAN FRANCISCO--(BUSINESS WIRE)-- Blend (NYSE: BLND), a leader in cloud banking software, today announced the launch of Blend Income Verification, a new product for financial services firms that delivers instant income verification for mortgages and, soon, consumer loans and deposit account opening. The new tool acts as a single income verification provider across banking products and lending scenarios by combining multiple data sources and verification methods, enabling financial services firms to streamline credit risk assessments for all types of consumers. Over 25 customers, including one of the five largest banks in the U.S., American Federal Mortgage, Lennar Mortgage, and IBC Mortgage have already signed on for the product.

“Blend has always been committed to partnering with the financial services industry to simplify processes and expand its ability to serve more customers. With the rise in gig economy and non-traditional work, income verification can be an obstacle for many consumers to gain access to financial services despite a strong ability to repay loans,” said Nima Ghamsari, co-founder and head of Blend. “Through Blend Income Verification, banking teams can confidently verify a consumer’s income in real-time without requiring time-consuming data entry or document uploads. It’s really the easy button for verifying a consumer’s income.”

Traditional methods of income verification require consumers to submit various forms of documentation, including pay stubs, W2s, and tax returns, to determine a consumer’s ability to pay back a loan. Data from these documents must then be manually extracted and reviewed, which can prolong approvals and lead to delays. With the new income verification product, Blend customers will be able to significantly reduce processing and underwriting work by pre-populating loan applications with verified payroll, tax, and asset data sourced directly from data service providers.

Blend Income Verification is an authorized report supplier for both Fannie Mae’s Desktop Underwriter^® (DU^®) validation service and Freddie Mac’s asset and income modeler (AIM), allowing financial services firms to easily take advantage of these programs for mortgages they manage through Blend. Additionally, the product will be fully integrated into Blend’s cloud banking platform, enabling customers to rapidly activate and configure the new income verification capabilities across products.

Blend Income Verification is currently available for Blend’s mortgage product, and will soon scale to all the company’s consumer banking offerings.

For more information on Blend and Blend Income Verification, please visit blend.com.

About Blend

Blend’s cloud banking platform is designed to power the end-to-end consumer journey for any banking product, from application to close. Our technology is used by Wells Fargo, U.S. Bank, and over 310 other financial services firms to acquire more customers, increase productivity, and deepen relationships. Through our software, we enable our customers to process an average of more than $5 billion in loans per day, helping consumers get into homes and gain access to the capital they need to lead better lives. To learn more, visit blend.com.

View source version on businesswire.com: https://www.businesswire.com/news/home/20211020005165/en/

Sarah Frueh – press@blend.com

Source: Blend

FAQ

What is the Blend Income Verification tool announced by Blend (BLND)?

Blend Income Verification is a new product that provides instant income verification for various financial services, including mortgages and consumer loans.

When was the Blend Income Verification tool launched?

The Blend Income Verification tool was launched recently, as announced in the press release.

How many customers have signed up for Blend Income Verification?

Over 25 customers, including one of the five largest banks in the U.S., have already signed up for the Blend Income Verification tool.

How does the Blend Income Verification tool improve loan processing?

It reduces the need for traditional documentation by verifying income in real-time, thus streamlining the loan application and underwriting process.

Does Blend Income Verification comply with Fannie Mae and Freddie Mac's standards?

Yes, Blend Income Verification is an authorized report supplier for Fannie Mae’s Desktop Underwriter and Freddie Mac’s asset and income modeler.