Wolters Kluwer Compliance Solutions offers insights on eVault capabilities

Rhea-AI Summary

Wolters Kluwer's Tim Yalich emphasizes the importance of eAsset management in the auto lending industry, highlighting a significant shift towards digital capabilities. Many retailers, however, remain hesitant, primarily due to concerns regarding the legality and management of electronically signed documents. Yalich asserts that simply storing documents electronically is inadequate; a comprehensive eAsset management system is crucial for ensuring compliance and maintain legal enforceability. He advocates for adopting advanced eVault solutions that not only store assets securely but also facilitate their assignment and transfer.

Yalich believes that a fully compliant digital loan experience is essential for auto lenders, enabling them to meet consumer demand while adhering to evolving regulations. Wolters Kluwer reported annual revenues of €5.5 billion in 2022, operating in over 180 countries with around 20,000 employees.

Positive

• Wolters Kluwer reported annual revenues of €5.5 billion in 2022, indicating strong financial performance.
• Increased adoption of digital capabilities in auto lending suggests growing market demand for eAsset management solutions.

Negative

• Retailers are hesitant to adopt digital solutions due to concerns over the legality of electronically signed documents.

eAsset management is critical to tracking digital loans and providing a digital chain of custody and evidence

MINNEAPOLIS--(BUSINESS WIRE)--

Tim Yalich, Head of Automotive Strategy, Wolters Kluwer Compliance Solutions, has shared his insights on the adoption of digital capabilities in auto lending. There has been considerable uptake in recent years, particularly on the consumer-facing side of digitized processes, Yalich argues, although some retailers continue to be inhibited by concerns over the legality and enforceability of electronically signed documents as secure assets.

That perception extends to questioning how electronically signed documents are stored and managed in a way that ensures they retain the same legal enforceability as paper — via eVaults — and understanding what elements are essential in using eVaults to ensure that level of enforceability. The insights feature in a recently published article, “Why All eVaults are Not Created Equal,” in AutoSuccessOnline.com.

Considering the number of eVault platforms available now, it’s no longer enough to just store everything electronically in an eVault, he contends. Yet it is critical for lenders to incorporate an eAsset management capability to properly store and manage one’s financial assets “in a way that supports originators, warehouse lenders, custodians and investors, along with servicers to close, manage and monetize digital assets.”

“Today’s leading solutions are purpose-built to deliver digital asset certainty, which is the assurance that digital loans are created, stored and assigned in full accordance with all compliance standards for the industry, while maintaining the highest level of legal enforceability throughout a digital loan’s lifecycle,” Yalich writes.

He notes that eAsset management of financial assets requires much more than the “secure storage” elements of an eVault, namely, encryption, tamper evidence, access controls and access logs. eAsset management also includes the ability to assign and transfer control over a financial asset with a tamper-sealed registry of the history of control.

Yalich is bullish on industry efforts that complement lenders’ increasing digitization of back-end functionality with consumer-facing processes, but he says a fully compliant, contactless digital loan experience requires these critical components.“With the adoption of this technology, auto lenders and their dealership partners will ensure they are providing the efficient experience that consumers want today, while also remaining in compliance with new and evolving regulations built for a digital economy,” he adds.

About Wolters Kluwer

Wolters Kluwer (EURONEXT: WKL) is a global leader in information, software, and services for professionals in healthcare, tax and accounting, financial and corporate compliance, legal and regulatory, and corporate performance and ESG. We help our customers make critical decisions every day by providing expert solutions that combine deep domain knowledge with specialized technology and services.

Wolters Kluwer reported 2022 annual revenues of €5.5 billion. The group serves customers in over 180 countries, maintains operations in over 40 countries, and employs approximately 20,000 people worldwide. The company is headquartered in Alphen aan den Rijn, the Netherlands.

For more information, visit www.wolterskluwer.com, follow us on LinkedIn, Twitter, Facebook, and YouTube.

View source version on businesswire.com: https://www.businesswire.com/news/home/20230412005592/en/

Media Contacts for Wolters Kluwer Financial & Corporate Compliance:

(Wolters Kluwer Compliance Solutions and Wolters Kluwer CT Corporation)

Paul Lyon

Senior Director, External Communications

Global Branding & Communications

Wolters Kluwer

Office +44 20 3197 6586

Paul.Lyon@wolterskluwer.com

David Feider

Corporate Communications Manager, Banking & Regulatory Compliance

Wolters Kluwer

Tel: +1 612-852-7966

David.Feider@wolterskluwer.com

Source: Wolters Kluwer

FAQ

What is eAsset management in the context of auto lending?

eAsset management refers to the comprehensive system for storing and managing digital financial assets, ensuring legal enforceability and compliance.

Why are some retailers hesitant about digital loans?

Retailers are concerned about the legality and enforceability of electronically signed documents.

What were Wolters Kluwer's annual revenues for 2022?

Wolters Kluwer reported annual revenues of €5.5 billion in 2022.

How does eAsset management affect lenders' compliance?

Effective eAsset management ensures that digital loans are compliant with industry standards and regulations.