Harnessing Digitalization and Why It Matters
By: Bill Dolan, CMB, AMP
SCA has noticed a real uptick with lenders looking to ramp up their mortgage technology and deploy the latest tools necessary to remain competitive within their footprint.
As technology advances and the dynamics of the mortgage industry evolve, more and more financial institutions are focusing their time, energy and resources on digitalization (or they should be if they don’t wish to be left behind).
Digitalization is defined as the use of digital technologies to change a business model (in this case, the mortgage lending arena) to produce new revenues and value-producing opportunities.
With a digitalized approach to data collection (the application and necessary documentation) required to process and underwrite loans, organizations can eliminate data silos and establish a single source of continuity by allowing all data to flow into a single standard repository. This can result in your mortgage manufacturing plant typically a high volume, high velocity area necessary for achieving significant turnaround and closing times, providing you the ability to achieve the best execution possible for selling into the secondary market today.
Whether your decision is to purchase a new digital POS, LOS or PPE system, lenders MUST be able to build a strong and effective implementation team. Time and again, SCA has witnessed lenders consider and then choose a new vendor and then fail to recognize whether that vendor can integrate with existing technology. Installing an un-integrated system is a recipe for disaster and failure. This does not mean that lenders should rely solely on their vendors to implement their new technologies either. Lenders must find a balance and this can be extremely difficult as lenders do not always maintain a highly sophisticated and tech-savvy group within their mortgage operations plant to lead the implementation. Vendors on the other hand have the strong technology knowledge and experience but may very well be extremely “light” in understanding the business from a lender/user perspective.
At SCA, our secondary market and mortgage technology consultants have on average, 16 years of both user and technology backgrounds and experience. We understand and can empathize with the heavy workloads, pressure and stress that your mortgage team is under in meeting closing deadlines and we are ready to provide the necessary knowledge and support required to implement new technologies without the stress and pressure on them for a successful implementation. Let SCA do what it does Best for you!
For a free consultation please reach out to Bill Dolan, Director at (617) 694-2617 or to view SCAs’ full array of mortgage banking and consulting services please visit our website at: www.scapartnering.com.
