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Money: The Advantages Of Using A Customized Loan Origination System


Every company understands the importance of technology to improve business processes. However, the hassles of adopting new technology can create disturbance in the existing systems, and that becomes a cause for worry. This fear is logical and there are solutions to address the issue.

This is where customized solutions become crucial. A business should opt for customized software solutions that fit perfectly with their existing IT infrastructure and business processes. This holds true particularly for banks and financial institutions. In the lending sector, customized solutions function seamlessly to increase application submissions, improve lead conversion rates, decrease processing costs per loan, improve borrower retention, and transform customer experience.

Loan origination is a crucial part of the lending process and need not necessarily be an ordeal for financial institutions or their customers. Efficient and highly customized loan origination software, which easily integrates with your existing loan origination solutions, simplifies the complexities of financing. Its advantages are multifold and can track and manage the loan progress, right from customer acquisition to disbursement.

A customized mortgage origination software system can offer you a range of options. Lenders can select the plan that fits their requirements and brings desired results like:

· Improved speed and efficiency in processing loan applications: Digitization of the loan application process, paperless loan origination, and appraisal process

· Reduced turnaround time & cost: Perform day-to-day functions optimally and lower associated costs besides facilitating resource deployment to loan origination

· Standardization of business workflows: Process standardization ensures consistent customer experience across touch points

· Efficient enforcement of regulatory government policies: Ensure that regulatory policies show in and guide all operations throughout your organization

It is essential to move from your old Loan Origination System (LOS) to a customized solution to reap benefits like speed, ease of use, cost savings, and high productivity. Challenges like rising operational costs, inconsistent credit decisions, and the lack of a dedicated loan origination system for different point-of-sale applications can be met effectively.

Loan origination systems currently in use are developed with flexibility and security in mind, and are able to respond to changing market conditions quickly and efficiently. The systems include powerful features that lead to exceptional customer relationships, strict compliance, and integrated document solutions. They can also give you better loan fulfillment by streamlining your workflow.

Take a peek at the many advantages that the rightly customized solution can bring to help make the right decision for your business:

  • Gain high flexibility
  • Deploy over a local area or wide area network
  • Get a comprehensive security framework
  • Document management functionality to reduce inefficiencies in handling paper
  • Configure your own rating scorecards for evaluating loan applications of borrowers
  • Support multi-organization, multi-product, multi-currency, and multi-lingual implementations
  • Enjoy significant growth in origination volumes
  • Handle the processing of loan applications completely
  • Keep a close watch on the overall quality of the portfolio
  • Support a variety of reports without manual intervention
  • Configure the workflow fully and keep all core modules supportive to all portfolios
  • Enjoy better turnarounds through agile implementation, solution accelerators, and custom solutions
  • Host multiple credit-scoring models and configure them
  • Customize the loan process workflow as per your institution’s credit process

It is quite evident that automation of the lending process is imperative to survive and thrive in the business. It is time to change from inefficiency to efficiency, from the traditional to the latest.

Customize your loan origination system today and make your lending process…

  • Simple
  • Flexible
  • Effective
  • User friendly

Author Bio: Preethi Vagadia is currently a Senior Business architect with the Service operations practice at a well-known IT Industry in Bangalore. She has worked in several process improvement projects involving multi-national teams for global customers.

She has over 8 years of experience in Mortgage Technology Solutions and has successfully executed several projects in Logistics management, Logistics Integration, Reverse logistics, Warranty software and Programmatic Solutions.


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Robert D. Cobb
Founder, Publisher and CEO of INSCMagazine. Works have appeared and featured in places such as Forbes, Huffington Post, ESPN and NBC Sports to name a few. Follow me on Twitter at @RobCobb_INSC, email me at [email protected]

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