Will the lower volume of loans at banks actually have the opposite effect for UPST?

Thinking out loud here, and would love to hear from those in the banking/lending industry.

I agree that the volume of loans will go down in the upcoming rising interest rate environment, simply because it becomes more and more expensive to get a loan. I continue to hear that this is a concern for UPST$Upstart Holdings, Inc.(UPST)$ , and that their loan volume will decrease and revenue and profits will suffer. What I wonder is will the lower volume of loans at banks actually have the opposite effect for UPST? I can think of two reasons why this lower overall loan volume for banks could be helpful for UPST.

1 - As revenues decrease for banks around loans, their will be greater scrutiny regarding the cost of their loan departments and trying to keep profits high. One would think UPST would look like a very attractive option in that regard.

2 - Banks will be looking for ways to reach more broaden their loan customer market in the wake of decreased volumes.

Again, UPST could be another attractive way for them to gain access to new loan markets.