With the decrease in mortgage originations, Correspondent and Wholesale Lenders are facing the prospect of having to acquire business from new sources. This means bringing in loans from new loan brokers in more areas of the country.
That creates the challenge of managing the process of registering, pricing, approving, and closing more loans from a myriad of different lenders throughout the country who all have their own way of doing their business.
Heretofore many Correspondent/Wholesale Lenders managed the loan origination processes using an altered/modified LOS created to handle retail loan originations. This results in the need for major modifications, cumbersome integrations (if any), and a whole lot of manual intervention. Not a very efficient nor reliable way to do business.
What these Lenders have been looking for is a system, supported by the technology, to manage the loan process from their perspective. They want a system that meets their needs and the needs of their originating partners. A true Correspondent/Wholesale Lender, end-to-end solution that automates every step of the loan acquisition process.
Lenders want to take a loan from initial loan pricing, through the creation and management of commitments, locking and hedging, classification and data extraction from loan documents to the closing of a loan. Lenders are looking for a system that will provide for an immediate and accurate file review to ensure the loan’s quality and compliance to ensure its purchase and performance.
A dedicated platform that will:
- Quickly and efficiently register and review new applications;
- Provide Seller specific pricing, with easy access to offered loan programs, pricing, and guidelines;
- Handle specific commitment creation and management;
- Ability to monitor and review pipelines for real-time identification and resolution of any fee, pricing or eligibility issues;
- Conduct a pre-purchase loan review to identify and clear any conditions using automated data extraction and comparison, using rules-based technology;
- Provide much better controls to monitor loans while improving turn times for loan registration, pricing, approvals, closings, and purchases,
This is the future of Correspondent and Wholesale Lending. No more confusion over what loans are registered with the elimination of pricing and eligibility problems; a more streamlined, efficient way to acquire profitable business, from more sources.
The time has come for a completely automated, integrated, one of a kind loan acquisition and management platform. Do you have such a system? If not, you may find it will be very difficult to stay competitive in attracting new business, and in retaining existing clients.
If you don’t have such a system, and you’re interested, such a Correspondent Tool exists. Having the right tools is half the battle. Using those tools correctly does the rest. What’s in your toolbox?