Credit reporting is an essential function for lenders, providing valuable insights into borrowers’ creditworthiness and helping to pinpoint high-risk individuals to safeguard the industry. To support this function, LoanPro’s LMS offers three distinct options for credit reporting: Enhanced CSV, Metro 2 CSV, and a Bloom Credit integration.

Each method caters to different operational requirements and preferences, offering varying levels of control, automation, and cost-effectiveness. This article explains the differences between each option, helping you choose the best fit for your lending operations. 

Enhanced CSV

LoanPro’s Enhanced CSV offers flexibility and control without the high costs typically associated with fully automated systems. This option is ideal for those who need to adjust their data extensively and are comfortable handling more of the process manually.

We provide a detailed guide of the Enhanced CSV process for credit reporting, but here are the key steps. Using LoanPro’s Credit Reporting tool in the LMS, you can export data tailored for credit reporting purposes.

Once the data is exported, the next step is to convert this data into the Metro 2 format, which is the standard required by major credit bureaus. For this task, software like Credit Manager 5 is recommended. It will reformat the data accordingly and perform validations to ensure accuracy and completeness.

Before you can begin reporting to credit bureaus, make sure you have an established account with at least one of them. Once set up, you're ready to start reporting. Credit Manager 5 will enable a connection to your credit bureau account and send the completed file.  

As mentioned above, opting for the Enhanced CSV method is ideal for lenders looking for a lower-cost solution and who value the flexibility to adjust and interact with their data directly.

Metro 2 txt file

LoanPro’s Metro 2 CSV option simplifies the reporting workflow by automating the data extraction and formatting steps.

We go into more detail in the Metro 2 CSV process for credit reporting, but here’s an overview. On the schedule you chose, LoanPro will automatically query our real-time replicated database, pulling up-to-the-minute data on your customers' payments and credit history. From there, we will reformat that data into a Metro 2 file.

Once the file is prepared, LoanPro sends it to you for review and validation. We highly recommend using tools like Credit Manager 5 or BridgeForce for this step.

As with any method, it’s crucial to have an established account with at least one credit bureau before you begin reporting. Once set up, you're ready to go.

While the Metro 2 CSV option offers significant advantages in terms of automation and accuracy, it does come at a cost. However, these costs are often justified by the reduction in overhead and the decrease in errors, which can lead to savings in the long run through more efficient operations and fewer credit disputes.

Opting for the Metro 2 CSV method is ideal for lenders looking to alleviate much of the manual effort involved in credit reporting. 

Bloom Credit integration

LoanPro’s integration with Bloom Credit represents the most comprehensive in our suite of credit reporting options, designed to handle virtually every aspect of the credit reporting process on your behalf.

We offer a detailed guide on using Bloom Credit for credit reporting, but here’s a quick overview. Once integrated, Bloom takes over the management of your credit reporting tasks, performing roughly 482 validations and quality checks monthly.

After validation, Bloom oversees the submission of your credit reports to the bureaus. While its process of running extensive checks significantly reduces the likelihood of disputes and inaccuracies. In the event of discrepancies, Bloom can support you in dispute resolution.

In order to use this integration, you’ll need to sign up with Bloom Credit directly as well as have an established account with at least one major credit bureau.

Opting for Bloom Credit is ideal for lenders who need a fully managed, hands-off process for credit reporting.