PRESS RELEASE
AVO Bank Deploys Alphyn ASM-Based Loan Decisioning System in Partnership with Databorn
AVO Bank, together with systems integrator Databorn and the vendor Alphyn, has launched a new real-time loan decision-making system based on Alphyn ASM within the bank’s technology landscape. The solution replaces the previous in-house platform and enables faster, more flexible, and scalable processes for retail lending.
The new system replaced the previous solution, providing a wider range of opportunities and tools for working with clients within the framework of lending to individuals.
Prior to the project, the AVO Bank customer team, Databorn (the integrator) and Alphyn (the vendor), had the task of implementing a loan decision-making system capable of operating in real-time mode into the bank’s contour. Alphyn ASM (Analytical Stream Manager) was chosen as the target product for creating a new IT architecture.
AVO Bank has recently entered the retail lending market. The previous system, which calculated credit card conditions, was written by the bank’s team independently in a very short time. In actual operation, it turned out that it was difficult to update and maintain it. In addition, the bank’s loan policy was frequently updated due to the active work of managers. The checks that loan applications went through changed regularly: the new ones were created, the old ones were switched off. Business may have suddenly required interchanging randomly the groups of checks and calculations.
To cope with the difficulties that have arisen, it was decided to develop a new system based on a high-quality vendor product. After analyzing the market, AVO Bank’s choice fell on Alphyn ASM, an online decision-making engine. When implementing the new system, the Databorn team set it up from the very beginning on the expectation of frequent changes in business processes in the future. The existing checks and calculations were transferred from the old system to the new one, and after that, several updates were carried out that could not have been carried out earlier.
The Alphyn ASM solution is responsible for management of loan and other risks, including calculation of complex aggregates, works with information from data warehouses and external services. The product’s functionality includes interaction with analytical models in real-time mode.
The new IT architecture is built on modern and reliable technologies. The backend part is written in Python and Java. Spring Boot as a framework for Java applications accelerates development and makes it standardized. Apache Flink helps to process data in real time. The new system is equipped with an intuitive and dynamic interface based on React. With the help of a high-performance Nginx web server, the interface becomes accessible to users, while the load is effectively distributed between the parts of the system. PostgreSQL serves as the database in the project.
Within the project, a scheme was developed for working with credit cards in the bank’s infrastructure. Loan applications are collected using a mobile application and website, and then automatically processed. Using the necessary data from external services (databases of the bank, credit bureau, blacklists, etc.), the system performs the necessary checks, following the specified business rules, and makes the final decision. If the client meets all the requirements, the offer (including the rate, amount, and term of the loan) is calculated individually, and then sent to CRM and to the client.
The new system in the AVO Bank’s infrastructure, due to a friendly graphical interface, allows changes to the business process even for those users who are not familiar with programming. At the same time, advanced developers can use Python, Java or Groovy languages and implement any business logic, including the most complex scenarios required by the bank.
"The implementation of the Alphyn ASM system in AVO Bank JSC is an example of an effective and successful partnership where we not only supplied software, but created a technological foundation for the customer’s dynamic business growth. Together with the bank’s team, we built an architecture that enables rapid adaptation to market requirements, respond to changes and manage loan policy without depending on IT development. For Databorn, this is not just a successful implementation of a new product, but a step towards setting a standard for flexibility and manageability of solutions for Central Asian banks. We see that such systems are becoming a key element of the digital transformation of lending processes," said Pavel Gorodetsky, Head of Business Development — Risk & Compliance, Databorn.
The new system replaced the previous solution, providing a wider range of opportunities and tools for working with clients within the framework of lending to individuals.
Prior to the project, the AVO Bank customer team, Databorn (the integrator) and Alphyn (the vendor), had the task of implementing a loan decision-making system capable of operating in real-time mode into the bank’s contour. Alphyn ASM (Analytical Stream Manager) was chosen as the target product for creating a new IT architecture.
AVO Bank has recently entered the retail lending market. The previous system, which calculated credit card conditions, was written by the bank’s team independently in a very short time. In actual operation, it turned out that it was difficult to update and maintain it. In addition, the bank’s loan policy was frequently updated due to the active work of managers. The checks that loan applications went through changed regularly: the new ones were created, the old ones were switched off. Business may have suddenly required interchanging randomly the groups of checks and calculations.
To cope with the difficulties that have arisen, it was decided to develop a new system based on a high-quality vendor product. After analyzing the market, AVO Bank’s choice fell on Alphyn ASM, an online decision-making engine. When implementing the new system, the Databorn team set it up from the very beginning on the expectation of frequent changes in business processes in the future. The existing checks and calculations were transferred from the old system to the new one, and after that, several updates were carried out that could not have been carried out earlier.
The Alphyn ASM solution is responsible for management of loan and other risks, including calculation of complex aggregates, works with information from data warehouses and external services. The product’s functionality includes interaction with analytical models in real-time mode.
The new IT architecture is built on modern and reliable technologies. The backend part is written in Python and Java. Spring Boot as a framework for Java applications accelerates development and makes it standardized. Apache Flink helps to process data in real time. The new system is equipped with an intuitive and dynamic interface based on React. With the help of a high-performance Nginx web server, the interface becomes accessible to users, while the load is effectively distributed between the parts of the system. PostgreSQL serves as the database in the project.
Within the project, a scheme was developed for working with credit cards in the bank’s infrastructure. Loan applications are collected using a mobile application and website, and then automatically processed. Using the necessary data from external services (databases of the bank, credit bureau, blacklists, etc.), the system performs the necessary checks, following the specified business rules, and makes the final decision. If the client meets all the requirements, the offer (including the rate, amount, and term of the loan) is calculated individually, and then sent to CRM and to the client.
The new system in the AVO Bank’s infrastructure, due to a friendly graphical interface, allows changes to the business process even for those users who are not familiar with programming. At the same time, advanced developers can use Python, Java or Groovy languages and implement any business logic, including the most complex scenarios required by the bank.
"The implementation of the Alphyn ASM system in AVO Bank JSC is an example of an effective and successful partnership where we not only supplied software, but created a technological foundation for the customer’s dynamic business growth. Together with the bank’s team, we built an architecture that enables rapid adaptation to market requirements, respond to changes and manage loan policy without depending on IT development. For Databorn, this is not just a successful implementation of a new product, but a step towards setting a standard for flexibility and manageability of solutions for Central Asian banks. We see that such systems are becoming a key element of the digital transformation of lending processes," said Pavel Gorodetsky, Head of Business Development — Risk & Compliance, Databorn.
"The deployment of the Alphyn ASM system represents not just a technological upgrade, but a new level of maturity in managing lending processes. We see this platform as the basis for further digital transformation of the bank and improved service quality for our clients," said Rustem Arifov, Head of Underwriting, AVO Bank.