Monday, February 07, 2005
Credit Risk Management Services for Credit Unions Available Through League Data, Covarity Alliance
(Kitchener, Ontario, February 7, 2005)
League Data and Covarity Inc. announced today that they have finalized a multi year agreement for credit risk management services. The agreement will provide League Data member credit unions access to Covarity's solution for automating financial statement gathering, credit risk analysis, and financial reporting for small and medium sized (SME) enterprise credit products.
Covarity is a real-time loan monitoring, review and management product designed to assist credit unions in their administration of commercial accounts. Credit unions will now have access to a service that automates and standardizes credit risk management practices associated with portfolio management.
"We are very excited about offering this type of leading edge solution to our members," said Steve Mills, Chief Executive Officer, League Data. "Our goal to differentiate ourselves from our bank competitors through services like Covarity has and will continue assist our Credit Unions to continue to grow their commercial lending offerings by meeting the needs of their local constituents."
The Covarity service presents significant financial savings for credit unions by reducing the regulatory and administrative burden associated with loan portfolio management. This is done by retrieving financial information (income statement, balance sheet, accounts receivable and payable) directly from the borrower, processing the information and issuing reports on borrowing base and other financial ratio covenants. Also, relationships with SME borrowers are enhanced because Covarity's service allows both the lender and the borrower to gain a common understanding of the borrower's financial trends and covenants.
"This program makes it easier for credit unions, large and small, to reduce the administrative burden of managing commercial lending portfolios," said Rod Foster, President and CEO, Covarity. "This will help credit unions throughout Atlantic Canada to deliver industry leading credit services to their members ."
About League Data
In addition to the multifaceted financial banking system, League Data offers a broad spectrum of services and applications, such as telephone banking, a loans origination package, adhoc reporting system, and automated teller machines. We are constantly creating and implementing new products and services to keep credit unions competitive.
About Covarity Inc.
All company and/or product names are trademarks and/or registered trademarks of their respective owners.