Specialist lender Colenko has announced rate reductions across its lending products following investment in AI assisted underwriting technology and increases to its wholesale funding facilities.
The lender said rates on its residential bridging products will now start from 0.71% per month, with further reductions also being applied to refurbishment and ground up development finance products.
Colenko said the changes follow operational efficiencies generated through the use of AI assisted underwriting and workflow automation, alongside increased funding facilities from Shawbrook Bank and Renaissance Asset Finance.
According to the lender, the technology is being used to automate parts of the underwriting and case management process, including document analysis, fraud detection, case summaries and risk assessment.
The lender said the most significant efficiencies have been achieved within refurbishment and development lending, where technology is used to review schedules of works, construction budgets and planning documentation.
Liam McGall of Shawbrook Bank said: "We’ve been impressed by Colenko’s practical and focused use of AI to solve real operational challenges within specialist lending, while continuing to maintain strong underwriting standards and credit discipline."
