BSI Financial Services, a mortgage fintech platform, recently launched Portfolio GuardianSM, an artificial intelligence (AI)-driven predictor model that calculates the likelihood a borrower will refinance their mortgage within the next 90 days, according to a release.

Portfolio Guardian generates a prepayment score for each borrower in BSI’s portfolio, allowing BSI and its clients to strategically target refinancing opportunities and enhance customer retention.

Additionally, the model, according to the release, leverages a sophisticated combination of data sources to generate its predictive scores, including zero-party data directly provided by borrowers, real-time industry data like current mortgage rates, and demographic information such as education completed and length of homeownership.

BSI has also implemented model monitoring and state-of-the-art training pipelines for Portfolio Guardian to ensure its ongoing accuracy and adaptability. These systems continuously evaluate model performance against real-world outcomes and allow the model to adapt to changing market conditions, evolving borrower behaviors, and new data patterns.

With 30-year fixed mortgage rates projected to dip below 6 percent by the end of 2025, according to the Mortgage Bankers Association, tools like Portfolio Guardian will become crucial for lenders and servicers.

BSI’s predictive technology enables its subservicing clients to proactively manage and capitalize on borrower behaviors during periods of fluctuating rates and enhance their competitive edge in a dynamic market.

“Portfolio Guardian is a valuable tool for boosting customer satisfaction and reducing portfolio churn,” BSI founder and CEO Gagan Sharma said in the release. “From a retention and recapture perspective, anticipating what our customers are likely to do in the future is a real game-changer.”