Credit Memo Automation
AI credit memo generator for lenders: your template, drafted from the loan package.
Kaaj verifies the business, analyzes bank statements and financials, checks fraud signals and your credit policy, then drafts the memo in your committee template with every finding linked to its source. Your underwriters review, edit, and decide.
Book a demo5–7 minutes
from loan package to a draft memo for a typical application
1 week
or less to mirror your committee template, spreading model, and credit policy
10
memo sections assembled from verified sources, from KYB to policy checks
A memo in your format, with the policy check built in
Not a generic AI narrative. Kaaj writes to your committee template, cites the document behind each number, and shows every credit rule as met or not met, so underwriters start from exceptions.
What goes into every Kaaj credit memo
Each section is written from verified inputs, not from what the application claims.
| Section | What it covers | Built from |
|---|---|---|
| Executive summary | Borrower, request, use of funds, structure, and the key strengths and concerns in a few lines. | Application and every section below |
| Business verification | Legal entity, Secretary of State status and formation date, owners, EIN, address, web presence, and industry. | State records, EIN check, owner ID, web data |
| Credit history | Soft-pull summary: score factors, open tradelines, delinquencies, recent inquiries, and 12- and 24-month comparisons. | Credit bureau report |
| Cash flow | True revenue, average daily balance, NSF and negative-balance days, debt payments, MCA positions and stacking, and DSCR from an editable debt schedule. | Bank statements and debt schedule |
| Financial spreading and ratios | Income statement and balance sheet standardized into your spread, with liquidity, leverage, and profitability ratios, policy-based add-back suggestions, and holding- and operating-company financials combined. | Financial statements and tax returns (PDF, Excel, Word) |
| Collateral and equipment | Invoice line items, hard vs. soft costs, VIN and vehicle class, and price checks against online market listings. | Invoices and equipment quotes |
| Fraud and risk signals | Document tampering, name and address mismatches, duplicate submissions, and negative news, each with its evidence. | Forensic checks across the package |
| Credit policy check | Each of your rules shown as met or not met, with exceptions called out for the underwriter. | Your credit policy |
| Missing items and conditions | Documents still needed and items to clear before approval or funding. | Your document checklist |
| Analyst notes | Management-call context, industry view, and the underwriter's judgment, added and edited by your team. | Your underwriters and call notes |
Fitted to how your credit team already works
Setup is done within a week: Kaaj learns your template, spreading model, and policy, then you compare its memos with your own on real deals.
Your credit committee template
Kaaj mirrors your memo section by section. No template? It is built from your last 10 memos.
Your Excel spreading model
Spreads and ratios follow your model, add-back rules, and formulas, and export to Excel.
Different memos by business unit
Separate templates for product lines or units, such as a short screen for small-ticket and a long-form write-up for committee deals.
Your debt schedule
Underwriters edit the parsed debt schedule line by line, zeroing out paid-off debt and adding the new payment, and DSCR recalculates.
Multi-entity borrowers
Holding-company and operating-company financials are spread and combined in one write-up.
Every number traceable
Click any number in the spread to open the exact line in the source PDF, even in multi-year audited packages.
Your credit policy
Your rules are configured into the memo as pass or fail checks, and you decide how they change.
Your systems
The memo and its data land in Salesforce, HubSpot, LeasePath, or your LOS, and export to Excel.
Proof before you buy
Run your own sample deals under NDA and compare the output with the memos your team already wrote.
Kaaj vs. bank credit memo modules vs. general AI assistants
Bank-platform memo tools write from data already inside the bank. General AI assistants write from whatever you paste in. Kaaj starts from the borrower's raw package and verifies it before writing.
| Kaaj | Bank credit memo modules | General AI assistants | |
|---|---|---|---|
| Built for | SMB, equipment-finance, MCA, and broker-sourced loan packages | Bank commercial and corporate credit inside the vendor's platform or data | Any writing task |
| Where the inputs come from | The borrower's own package: applications, bank statements, tax returns, invoices, IDs | Spreads, financials, and data already in the bank system or vendor datasets | Whatever you paste or upload |
| Verification before writing | KYB, credit pull, bank-statement analysis, and fraud checks run first | Varies; often relies on data already verified upstream | None |
| Your template and policy | Mirrors your memo and Excel model; rules shown as met or not met | Configurable within the platform's memo module | Prompting only; no policy checks |
| Traceability | Click any spread number to the exact line in the source PDF; unverified items labeled | In-line citations in newer products | Not reliable |
| Where it lands | Salesforce, HubSpot, LeasePath, your LOS, and Excel | The vendor's LOS or platform | A chat window |
Evidence behind every line
Executive summary
Deal overview, borrower profile, and key findings: the TL;DR for credit committee.
KYB verification results
Entity status, web presence, address match, and ownership. Every source linked.
Cashflow analysis
Revenue trends, average daily balance, NSF/overdraft days, MCA detection.
Fraud & risk signals
Tampering flags, name mismatches, duplicate submissions, suspicious patterns.
Policy exceptions with precedent
Every exception linked to policy, with past similar exceptions surfaced for consistency.
Full evidence trail
Every claim in the memo is traceable to a source document, agent observation, or verification.
Credit memo automation FAQ
What is credit memo automation?
Software that assembles the credit memo from the loan package: it verifies the business, analyzes bank statements and financials, checks fraud signals and credit policy, and drafts the memo in your template with every finding linked to its source, for an underwriter to review and approve.
Can Kaaj write memos in our own credit memo template?
Yes. Kaaj mirrors your template section by section, including custom fields, or builds it from your last 10 memos if you do not have one written down. Different business units can have their own templates, from a short screening memo for small-ticket deals to a long-form committee write-up covering industry, ownership, the debt schedule, and structure. Setup is typically done within a week.
Can Kaaj spread financials into our own Excel model?
Yes. Financial statements and tax returns in PDF, Excel, or Word are spread into your model, line items, and formulas. DSCR, cash flow, and global debt service are calculated the way your worksheets define them, and the spread exports back to Excel.
Can underwriters adjust the debt schedule?
Yes. The parsed debt schedule is editable line by line: underwriters remove paid-off obligations, add the proposed payment, and coverage ratios recalculate before the memo is finalized.
How does Kaaj handle borrowers with more than one entity?
Each entity is spread separately, and holding-company and operating-company financials are combined in one write-up, so global cash flow reflects the whole borrower group.
Can we trace every number back to the source document?
Yes. Every number in a Kaaj spread links to the exact line in the source PDF, including multi-year audited packages, and items that could not be verified are labeled rather than filled in.
How is our credit policy applied?
Your credit rules and document checklist are configured into the memo as met or not met checks, with exceptions called out first. Your team decides when rules and thresholds change.
How long does Kaaj take to produce a credit memo?
A typical application package is processed in 5–7 minutes, from intake through verification, analysis, and a draft memo. Larger packages with multi-year audited financials take longer.
Where does the finished memo go?
The memo and the structured data behind it are written to Salesforce, HubSpot, LeasePath, or your LOS automatically, and spreads export to Excel.
Can we try Kaaj on our own deals first?
Yes. Lenders run a few of their own recent deals, redacted if needed and under NDA, and compare Kaaj's memos with the ones their team already wrote for the same files.
Does the AI make the credit decision?
No. Kaaj drafts the memo and shows which policy rules are met or not met; your underwriters add qualitative judgment, edit the memo, and make the decision.
Is a loan credit memo the same as an accounts-receivable credit memo?
No. In lending, a credit memo is the underwriting write-up that recommends approving or declining a loan. In accounts receivable, a credit memo is a document that reduces what a customer owes. Kaaj automates lending credit memos.