Lloyds Banking Group has successfully transitioned its lending infrastructure to a cloud-based system, decommissioning over 20 legacy on-premises applications and resolving more than 50 systemic limitations.
This transformation was made possible through the implementation of the FICO Platform, resulting in a notable 2.5% increase in credit card approvals and a doubling of new consumer loan customers.
The upgrade addressed significant challenges posed by LBG’s outdated lending infrastructure, which hindered growth and adaptation to changing customer demands. The previously fragmented systems led to inconsistencies across digital platforms and complicated the integration of essential data assets, crucial for responsible lending, scalability, and sustainability.
Ian Rockliffe, Head of Consumer Credit Risk Transformation at Lloyds Banking Group, stated, “It became evident that our existing lending infrastructure was obstructing our strategic growth objectives. We required a versatile system that could evolve alongside our customers’ needs in digital environments, while also integrating new data assets to bolster growth and our commitment to responsible lending.”
The project involved an extensive data mapping exercise to identify potential changes or deviations in data across various systems and to prepare for future modifications. This proactive approach enabled LBG and FICO to effectively manage downstream data users, ensuring minimal disruption.
Since launching the FICO Platform, LBG has implemented a significant bureau data upgrade, completing the process in a matter of weeks—a stark contrast to the months required previously.
Rockliffe remarked, “The results from the bureau data upgrade on loans have been exceptional, and we anticipate similar outcomes for credit cards. Our new lending infrastructure has empowered us to scale efficiently and make important strategic advancements, including in-house eligibility assessments for credit cards. Notably, the new architecture has demonstrated robust performance, ensuring we can meet our customers’ lending needs around the clock.”