Endorsed Solutions Digital Mortgage Loan Business Process Infographic

The Digital Mortgage Process

The Digital Mortgage lifecycle leverages technology starting with lead generation all the way to servicing. The benefits of a Digital Mortgage include speed, transparency, convenience, and security. These benefits accrue to both lenders and borrowers and help to drive down origination costs. ABA Endorsed Solutions providers, listed under each process flow step, have been vetted by bankers and ABA staff and offer ABA members many products and services to support the transition to a digital mortgage process flow.

1. INDUSTRY INFORMATION

• Real Estate Listings
• Value Analytics
• Mortgage Affordability Calculators
• Product & Rate Comparison

Endorsed Solutions: Fannie Mae, Farmer Mac

2. ORIGINATION

• Automated Pre-Qualification
• Self Service Multi Platform Applications (Desktop, Cell Phone)
• Personal Portals & Multi Channel Communication
• Integrated & Automated Mortgage Insurance Pricing

Endorsed Solutions: Finastra, Arch MI, ComplianceEase, Built, Fannie Mae, Farmer Mac, Stearns Lending, Promontory Fulfillment Services

3. PROCESSING

• GSE Property Inspection Waivers
• Instant Credit Pull
• Day 1 Certainty: Income, Asset, Employment Verification Through API
• Pre-Close QC & Compliance Checks

Endorsed Solutions: Arch MI, Built, ComplianceEase, Fannie Mae, Farmer Mac, Finastra, Promontory Fulfillment Services

4. UNDERWRITING

• Real Time Automated Risk Decisioning
• Property Valuation Tools
• Ratio Calculators
• Customized Analysis based on an Institution's Credit Policies

Endorsed Solutions: AmeriHome, Fannie Mae, Farmer Mac, Promontory Fulfillment Services

5. CLOSING

• e-mortgage
• e-notes
• e-signatures
• e-vault
• *Early adoption phase for digital closings

Endorsed Solutions: Promontory Fulfillment Services

6. POST CLOSING AND SHIPPING

• Digital Imaging & Indexing
• Document Tracking, Retention & Retrieval
• Online Access to Account Status & Recorded Documents
• Post-Close QC & Compliance Reviews

Endorsed Solutions: Farmer Mac, Promontory Fulfillment Services

7. SECONDARY MARKET SALES

• Automated Linkage to Investor Platforms
• Day 1 Certainty Rep & Warrant Relief

Endorsed Solutions: ABA Community Bank Mortgage, LLC, AmeriHome, Farmer Mac, Fannie Mae, Stearns Lending

8. SERVICING

• Multi Channel Account Access
• Real-Time Account Status
• Pro-Active Outreach and Service Offerings Based on AI/Data Analytics

Endorsed Solutions: Farmer Mac, Midwest Loan Services

Did you know that ABA can help your bank develop and implement a digital mortgage process? Your bank can implement a digital process one step at a time, based on your specific business needs. The benefits of a digital process accrue to both lenders and borrowers, helping to drive down origination costs and build business.

TRADITIONAL PROCESS

• Paper-based
• Costly, manual processes
• Prone to errors
• Lengthly approval process
• Difficult to scale to meet demand
• Compliance/security issues
• Staff focused on low value work

VS.

DIGITAL PROCESS

• Up up to 50% faster processing
• Increased visibility throughout the process
• More accurate decision-making
• Lower costs
• Improved compliance/security
• Superior customer experience
• Enables staff to focus on high value activities
• Mobile access

ABA is here to help your bank get started! Visit aba.com/Endorsed.