LoanPro’s points-based Rewards Program gives you a powerful tool to shape purchase behavior, strengthen customer loyalty, and drive on-time payments. With our flexible rules-based engine, you can configure how reward points automatically accrue across both swipes and payments—allowing cardholders to earn as they spend and easily redeem points as statement credits.

Rewards Program hierarchy

The Rewards Program has an advanced hierarchical structure that allows for customization to meet your exact needs: Program > Group Interplay > Modifier Group > Modifier Interplay > Modifier.

• Program - defines the default settings every calculation starts from.
• Group Interplay - how two or more Modifier Groups interact with each other at the Program level.
• Modifier Group - a container of rules attached to one Program.
• Modifier Interplay - how different Modifiers interact with each other.
• Modifier - an individual rule inside a Modifier Group.

Program

Default settings defined by the Program include:

• Swipe and payment base rates.
• Swipe and payment accrual toggles.
• Statement credit base rate.
• Per-transaction point cap (None, Static, or Percentage).
• Redemption credit category.
• Transaction amount rounding before calculation.
• Group Interplay.

Group Interplay

After each group produces a final rate, you have two options:

• Add Together: Sum the final rates of all qualifying groups.
• Highest Only: Use only the single highest group final rate.

Modifier Groups

Each Modifier Group has a type—Accrual or Redemption. Only the matching type runs for a given event, which could be a swipe, payment, or credit. There is no limit to the number of groups allowed.

Modifier Interplay

When a group has multiple qualifying modifiers, you can choose to:

• Add First: Add every Add-to-Base value to the base, then apply every Multiply-Base factor. Formula: (base + sum of adds) x product of multipliers.
• Multiply First: Apply every Multiply-Base factor to the base, then add every Add-to-Base value. Formula: (base x product of multipliers) + sum of adds.
• Highest Only: Do not combine; use only the single highest individual modifier result.

Modifiers

In almost all cases, points start with a value of $0.01 each. However, you can use Modifiers to increase or decrease their value. Example uses:

• New-account Promotion: Double rewards during a customer's first 6 months.
• Account Health: Cut rewards in half, or to zero, while an account is past due.
• Segment-based Tiers: Use customer segments to drive different rates for different groups of accounts.

Only modifiers that match the triggering event will be evaluated.

Configuring rewards

Each Rewards Program must be configured by LoanPro at this time. To configure and launch your program, please contact your LoanPro representative. Self-service UI tools are still being developed.

At the account level, rewards can be managed through the API. You can update account settings, view reward transactions and balances, forecast point redemptions, and redeem rewards.

Reward earning calculations

The rules-based engine within the Rewards Program supports multiple earning triggers with configurable rates and modifiers. In addition to a standard flat rate, rewards can be amplified based on spending data, repayment activity, or other behavior. Here’s how rewards and bonuses might work together:

• Standard Purchase Rewards: A cardholder has a base earning rate of 0.50% on all purchase transactions, with points calculated on transaction amounts before fees or interest.
• Payment Incentives: On-time payment rewards generate 0.50% back on payment amounts, encouraging consistent repayment behavior and reducing delinquency risk.
• AutoPay Enrollment: Cardholders enrolled in AutoPay get monthly reward amplifiers, such as a 0.25% additional earning rate, applied automatically to qualifying accounts.

For example, a $20.00 purchase at a base rate of (0.50%) would earn 10 points, a $0.10 value. That same $20 purchase would earn 15 points, a $0.15 value, for an AutoPay cardholder who earns bonus rates (0.75% total rate). If the cardholder is up to date on their payments, they would earn even more.

*Points accrue and become available for redemption in real-time as swipes and payments are settled—not at authorization.

Accrual resolve process

Every accrual follows the same process:

1. Trigger Event: The process begins when a swipe or payment reaches settlement.

2. Base Rate: LoanPro’s LMS pulls the defined Program base rate for the event type.

3. Rounding (Optional): If enabled, the settled transaction amount is rounded.

4. Group Rate Evaluation: For each qualifying accrual group, modifier conditions are evaluated, and passing modifiers are applied according to the group's Modifier Interplay to calculate that group's final rate.

5. Program Rate Calculation: Final rates across all groups are combined using the Program's Group Interplay to determine the single, overall transaction rate.

6. Point Calculation: The final rate is multiplied by the settled transaction amount to calculate the total reward points earned.

7. Capping: The per-transaction cap (None, Static, or Percentage) is applied to the calculated total.

8. Posting: The calculated points are posted to the account's Rewards ledger.

Redeeming points

Points can be redeemed through several channels:

• Automatic Redemption: Points convert directly to account credits and apply against outstanding balances, providing immediate value to borrowers.
• Agent Assisted: Customer service agents can track point balances, review reward history, and redeem points directly in LoanPro’s LMS, with streamlined tools to condense the redemption process into a one-click solution.
• Cardholder Controlled: Cardholders can access balances, view earning breakdowns, and redeem points through the Customer Portal or your own website/application—if it’s integrated via our API.

No matter the channel used, redemption can be connected to access controls, with redemption eligibility tied to account data like delinquency or account closure status.

Within a line of credit account, navigate to Servicing > Rewards, or Summary > Transactions > See More. There, you’ll see a summary of the points accrued, earning rates for swipes and payments, and the dollar value for each point. Below that, you’ll see a history table showing past redemption. Only qualifying transactions will appear.

To redeem points, click the black 'Redeem Points' button.

Beneath the current point total and dollar value per point, you will see the total point value the account has available. Enter a value up to that limit and a description, which is required.

Reporting and auditability

LoanPro provides detailed reporting capabilities for program management and financial reconciliation.

• Rewards Accrual and Redemption Enabled: This report offers an account-level configuration overview that shows whether an account is able to accrue and redeem points.
• Rewards Earning Report: This report gives a transaction-by-transaction breakdown of how many points were earned and what bonuses amplified their accrual.

Every accrual creates a transaction, and each transaction records the modifiers that applied to it (modifier name, group, type, and value) via a cross reference modifier. Those values are captured at the time of accrual so later changes to a rule do not alter record history.