Lien data is a valuable indicator of financial trustworthiness and fiscal responsibility that can inform a financial institution’s (FI's) risk management decisions. The number of liens placed during an individual's lifetime, the lien types, as well as the dollar amount associated with each lien, can be invaluable client information in an FI's risk assessment process.

Variable Pricing and Fiscal Responsibility

Involuntary liens, regardless of type, indicate that an individual has previously foregone payment of debt incurred. As perceived trustworthiness and responsibility of a customer decreases, the sale price of an FI's offerings increase. There is an inverse relationship.

Lien Data Challenges

The analysis of lien data (amount, type, fiscal cost, etc.) is a powerful tool. The challenge that many organizations face, however, is the manual and clumsy nature in which this information is often acquired. 

Liens are a matter of public record and are stored in county databases. While counties make every effort to provide current information, no guarantee, expressed or implied, is provided as to the accuracy of the data. Additionally, data pertaining to automobile liens is stored independently from property liens. The manual acquisition of publicly available information and the verification of its accuracy is both cost prohibitive and time consuming.  

Lien Data Demystified

The cumbersome acquisition of lien data can be automated via the use of external data sources.

Demyst’s Personal Liens API recipe pulls everything having to do with the lien(s) placed on an individual's property; as well as that individual's SSN, which is a valuable KYC identification tool.

By leveraging the Demyst ecosystem, FIs can automate risk assessment and underwriting processes that flag for relevant risks. Saving time and money has never been easier for FIs.  

Sign up for a free Demyst Account and reduce time spent completing manual reviews.