There are many external business drivers of lender strategy that also drive information technology (IT) spending. Business drivers impacting consumer lending markets in 2011 include unprecedented changes in regulatory compliance, weak economic recovery, flat to declining loan volume, loan investor information requirements, ongoing depository institution failures, and the operational and financial burden of distressed asset management and lawsuits. Lenders' IT strategies in 2011 need to respond to these external business drivers and focus on internal strategies to reduce operating costs, improve margins and update loan demand-generation strategies. This Tower on Tech column is excerpted from a TowerGroup Research Note entitled "Consumer Lending: Top 10 Technology Initiatives for 2011," and highlights a number of technology initiatives that will help lenders implement their business strategies in 2011.
