At Level 5 of loan automation, the system itself not only gathers, processes, and validates information and data, but also makes decisions, even about complex loan products. The system learns as it goes as Artificial Intelligence does, so its decision-making constantly improves. The system is, therefore, able to assess the applicant’s credit history, debt-to-income ratio, disposable income, assets to serve as collateral, the purpose of the loan, the interest rate, and the loan amount in order to come to a decision guided by rules built into the system.
In short, Level 5 is the Holy Grail of loan automation. It includes the fully automated processing of applications, credit decisions, and issuing for all credit applications. No human intervention is needed in any part of the process e.g. personal loans or SME loans.