Now enables contract-hire financing and extends variable rate structures
MINNEAPOLIS, U.S. and MILTON KEYNES, U.K. | Dec. 13, 2022 Solifi, a global fintech software partner for secured finance, announced the release of its latest version of Solifi Originations for European equipment and automotive finance lenders. The new features are designed to support UK contract-hire use cases, quote for more sophisticated variable rate products, and support for rent-to-own Mietkauf financing products in German markets. With Solifi’s SaaS-based open finance platform, lenders receive innovative product releases monthly with feature flags allowing more flexible control in deploying new functionality.
“Our latest Originations release further demonstrates the flexibility of our SaaS-based open finance platform extending our U.K. and European customer’s ability to support sophisticated financing options expanding their market reach,” says Chief Product Officer (CPO) Bill Noel, “This latest release reinforces our commitment to innovation and continued product investment, which creates opportunities for our customers to adapt to market trends and stay ahead of the competition.”
The most recent release of Solifi’s Originations solution brings new value to lenders and customers, including:
Enhanced support for contract hire
• Allows lenders to maintain, track, and itemise asset-based charges separately to support U.K. contract-hire financing. With different elements of the purchase price taxed at various rates, lenders offering contract-hire and leasing finance options can now differentiate charges separately from the depreciating asset cost.
• Enables creation of multiple non-financed schedules in contract hire models and automatically sends supplementary value-added service costs (e.g., roadside service, regular maintenance) along with finance costs from Solifi’s Originations to the Portfolio Management system – creating integrated and seamless tracking and contract maintenance.
Variable rate expansion
• Supports both structured and fixed payment options, creating the ability to quote for variable rates when the customer needs to make balloon or seasonal payments (e.g., as interest rates rise, the customer can adjust their payments and have the term flex as those rates change). This more sophisticated variable rate product and flexible financing option becomes increasingly desirable and suits select borrower demands while enhancing the customer experience.
Regulatory compliance – German markets
• Supports German market Mietkauf product compliance, enabling the financing of capital equipment for a fixed duration with upfront collection and calculation of value-added-tax (VAT). This enables regulatory compliance in Germany and offers additional financing options based on customer payment collection preferences.
Get in touch to find out how Solifi can support contract-hire financing, variable rate options, and regulatory compliance. You can stay up-to-date with all our new equipment and automotive finance software features and other secured finance product releases by joining the Solifi LinkedIn community.