OCR has a long way to go, especially in the auto industry where forms change constantly and new document types are added regularly. However, by combining state-of-the-art OCR technology, with applied intelligence “learned” from a purpose-built large language model (LLM) and subject matter experts, solutions like Informed intelligently “read” the document, turn it into actionable insights, perform complex calculations and so much more.
It is important to accurately parse the data. With the power of AI, you can get accuracy rates of 99% on known document types. For lesser known document types, accuracy rises quickly over time. The lender is in control, based on your lending policies, you determine which documents you feel comfortable accepting and which you prefer to require manual review.
Informed has gone above and beyond traditional OCR by detecting fraud, calculating applicant income, collecting missing data/documents, and modeling out applicant income. OCR companies are limited to the text on documents, but our knowledge graph enables us to go beyond what is just on the document.
For example, we have the intelligence to predict form numbers and revision dates of contracts (such as GAP, RISCs, etc…) when they are badly scanned or cut off. We’re able to ingest state laws like CA AB 2311 into our GPT-4 model and flag GAP contracts that are missing the required disclosures and notices.
When a dealer submits the first page of a GAP contract, we can augment it with complete contracts from our database and help lenders navigate how refunds are supposed to be handled. We are going far beyond the text on documents to empower our lending customers to automate the compliant boarding of loans.
Currently, we see ~25% of the deals done in the indirect auto market. The data in these deals train the models, create a rich and robust dataset and provide insights into what is happening in the market. Adding AI on top means that we can learn from this data and continuously improve model’s accuracy and capabilities.
As AI-powered OCR solutions like Informed evolve, they will continue transforming the auto industry and other industries that rely heavily on paperwork. By automating the processing of documents, AI-powered OCR saves time and money, improve efficiency, and reduce errors. Additionally, AI-powered OCR can helps detect fraud and comply with regulations.
Adine Deford is the VP of Marketing at Informed.IQ. She has more than 25 years of technology marketing experience serving industry leaders, world class marketing agencies and technology start-ups.