Manual Underwriting vs Automated Underwriting

Developers should learn about manual underwriting when working on financial technology (fintech) applications, insurance software, or lending platforms that require custom risk assessment logic or integration with underwriting workflows meets developers should learn automated underwriting when building or maintaining systems in financial services, such as online lending platforms, insurance applications, or credit scoring tools, to handle high volumes of applications quickly and accurately. Here's our take.

Manual Underwriting

Nice Pick

Developers should learn about manual underwriting when working on financial technology (fintech) applications, insurance software, or lending platforms that require custom risk assessment logic or integration with underwriting workflows

Pros

• It's crucial for building systems that handle exceptions, support regulatory compliance, or process applications for borrowers with unique financial situations, such as self-employed individuals or those with thin credit files
• Related to: risk-assessment, financial-modeling

Cons

• Specific tradeoffs depend on your use case

Automated Underwriting

Developers should learn Automated Underwriting when building or maintaining systems in financial services, such as online lending platforms, insurance applications, or credit scoring tools, to handle high volumes of applications quickly and accurately

Pros

• It's essential for roles involving fintech development, data science, or regulatory compliance, as it reduces operational costs and enhances decision-making speed
• Related to: machine-learning, data-analytics

Cons

• Specific tradeoffs depend on your use case

The Verdict

These tools serve different purposes. Manual Underwriting is a methodology while Automated Underwriting is a tool. We picked Manual Underwriting based on overall popularity, but your choice depends on what you're building.

The Bottom Line

Manual Underwriting wins

Based on overall popularity. Manual Underwriting is more widely used, but Automated Underwriting excels in its own space.