In today’s business environment, mortgage lenders are looking for a way to grow and retain their customer base by both providing better products and services and pursuing a more efficient loan manufacturing process. Lenders can use technology to make gains in both customer satisfaction and operational efficiency by going paperless.
Your community bank can go paperless. As part of a strategic business process shift, more and more lenders are choosing to implement electronic processes beginning with disclosures and concluding with an electronically delivered promissory note or eNote. In today’s market, there are many technology partners that seamlessly integrate with current loan origination system and closing systems to create an electronic experience that promotes faster execution and more empowered borrowers.
Because customer retention is so critical for community banks, the proposition of “e” has become more enticing. Electronic closing processes offer customers more clarity in the process as documents can be pushed out to the consumer ahead of time and signed at their convenience. In addition, many of the new technology offerings available today incorporate educational guides and links to assist consumers in understanding a mortgage document’s full intent. Lenders who employ fully electronic closings have shared statements like, “our borrowers are better informed and enjoy the process so much more than before.”
While customer satisfaction is crucial, lenders are also keenly interested in reducing operational costs while not compromising quality. With the rising costs of origination, it’s no wonder that lenders are looking to automate more. Through eClosings, documents are executed faster, review times are shortened, there are less manual data errors, transfers of control can be immediate, and ultimately lenders can receive funds faster from Fannie Mae.
Through automation and a more transparent process, data errors or other issues, such as compliance checks can also be identified and corrected earlier. All of these process improvements equate to significant savings for lenders.
For lenders considering deploying an eClosing or eMortgage solution, the customer service benefits and process cost savings can be significant. We suggest you begin by evaluating your current operational workflows and determine where you can identify gains through automation and use technology to manage your regulatory touch points (TRID, QM, ATR, etc.). Please reach out to Fannie Mae for more information at eMortgage_Info@FannieMae.com
Read more about eMortgages and eClosings on Fannie Mae