What Is Collateral?
The term collateral refers to an asset that a lender accepts as security for a loan. Collateral may take the form of real estate or other kinds of assets, depending on the purpose of the loan. The collateral acts as a form of protection for the lender. That is, if the borrower defaults on their loan payments, the lender can seize the collateral and sell it to recoup some or all of its losses.
Why is management of collateral important?
To de-risk and stay competitive, banks need to have a clear, accurate and enforceable view of collateral. Also, to ensure they are lending the right value of loans based on collaterals held, it is very important for banks to have all the relevant information validated.
How can we help?
NASS IT has expertise in assisting our clients to build state of the art collateral management platform. We have expertise in various areas of collateral management:
Data reconciliation between your current collateral system and registry services
Data migration for collaterals from legacy system to a new system
Building new collateral management system
Integrating collateral management system with various third parties for property search, valuations and registration
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