This stimulus package is certainly a good step for injecting dollars into the economy and saving small businesses, but from a bank or credit union perspective, there is going to be a huge inflow of PPP SBA Loan requests and a tremendous load on workforce in processing those loans in coming weeks & quarters.
To put this into perspective, a developing story in a Forbes Article highlights that Bank of America has received applications from 177,000 small businesses accounting for $32.6 billion. In FY 2019, the SBA approved $28.2 billion in loans and more than 63,500 loans to small businesses (refer this Annual Report by SBA, Page 11). This means within 10 days of stimulus package release, there has been almost 3 times increase in loan requests, almost 1.2x of total the loan amount that was disbursed all along last financial year. This should give a sheer volume of requests and processing efforts required by banks and credit unions to be prepared with.
While Banks would have the necessary core banking platforms & systems for processing the loans, this sudden deluge would need additional hands and tools to process. That is where we believe RPA can play a significant role in reducing manual efforts and enhancing the cycle time. As highlighted in the previous blog , RPA can help organizations survive the pandemic and plays a key role.
Again, to put things into perspective below is the sample PPP form that every small business must fill in and apply to Banks. As it can be seen below, the form can be filled in either by editable fields or by manual entry depending upon the preferences. There are many ways of automating this form and associated processes. For example