Complex processes and long wait times
This global finance company is a trailblazer because of its unwavering focus on the customer experience. However, long wait times in the personal banking onboarding process were leading to low new customer conversion rates. In fact, 30% of applications were never fully submitted, and only 36% of applicants actually opened an account.
The company turned to Genpact for help understanding the extent of the problem.
We saw that when customers sign up for a bank account, they must submit electronic identification (EID). Ideally, EID is approved within one minute, and the customer is onboarded within eight hours. However, cases that required no extra review, known as straight-through processing (STP) applications, made up only 43% of applications. Then, even before reaching the EID step, 20% of applications were declined at the underwriting stage. And if any EID is rejected, account creation can take 120 hours or more.
We identified a similar issue in mortgage applications. STP mortgage applicants enjoyed a 12-day turnaround – but that was only 26% of applicants. And 38% of applications required rework that could leave customers waiting over a month to hear back.
When we took a closer look, we found discrepancies in passing customers through the pending, accepted, or declined stages. Our aim was to standardize, automate, and improve processes for faster yet responsible responses.