Financial services teams are now under great scrutiny in offering mortgage and business loans to their clients. They must ensure that each piece of information within their systems is completely accurate, or they face the risk of potential penalties from auditors. It’s for this reason that so many financial services companies are now turning to a combination of document scanning systems and process automation systems to help mitigate risk. In this latest post, we’ll explore the benefits of the latest scanning technology and explain how the technology supports risk-mitigation throughout the financial services field.
Compiling and Collecting Data
One of the key challenges for teams within the mortgage and loan industry is that documents arrive at their desks from a number of sources. Each of these documents is also likely to have been created with a different platform.
For example, companies deal with emails, PDFs and Word documents throughout their working day. And so, they require a system that collects the data from these documents and compiles it within one place.
Working with a process automation specialist such as DRS Imaging, your company can mitigate the risk associated with using various document styles. Process automation experts can help to streamline document management so that data arrives at the desk of the right person every time. The automation team can also help to keep sensitive records safe by designing a secure electronic method of delivery when transmitting private data.
Improving Direct Risk Monitoring
With an automated process in place for document handling, companies can now build risk monitoring systems that review data proactively to protect their loans. For example, companies with a document handling strategy in place are able to allocate more resources to human risk management professionals that analyze data as it enters the system. Using talented professionals in this way means they’re not focused on simply processing data as it comes into the company.
Talented risk management teams are now able to create proactive strategies for mitigating loan risks and analyzing loans as they enter the system. This ensures the best use of automated resources for simple processing of financial information and human team members for building strategies that safeguard the company for the long-term.
Drive Down Compliance Costs
One of the major issues many companies are having throughout the financial services industry is the cost of complying with the latest rules regarding data sharing, storage, and privacy. With the rules continuing to take shape, it’s often difficult, particularly for smaller organizations, to build the resources to comply with the latest regulations. This means growing companies are investing more money on compliance rather than on their core business operations. Working with the latest process automation systems can help firms reduce their compliance costs significantly.
For example, when used for “stare and compare processes” such as reviewing two loan documents to ensure data matches, the software can complete this work in fractions of the time it would take an office team member. The technology can also be harnessed to perform rules analysis to determine how a company can improve its compliance levels while limiting costs across the board.
Document Management and Process Automation Throughout the Mortgage Lifecycle
Now that you know a little more about the benefits of document management systems and process automation technology, let’s look closer at the role of the systems within the mortgage processing lifecycle.
Pre-funding data verification
At the mortgage origination stage, process automation technology can be used for swift data verification. The software can be harnessed to review income statements and verify asset details with precision.
The document management and scanning service can be used for indexing key documents within the company’s systems so that all members of the team can review the data and analyze the mortgage application.
The process automation technology can also be used at this stage for ordering services such as appraisal and credit analysis.
Loan onboarding and data analysis
After income and credit details have been verified, the software can begin the loan onboarding process and analyze the client data.
During the loan, the software can be used to process payments and to verify that all information within the payments is correct. This ensures that financial services teams don’t have to review the data directly and can help to automate the transfer of payment from the client to the financial company.
Managing defaults and foreclosure data
The process automation systems will also be used during the default and foreclosure process. The software can help analyze the impact on the financial company in terms of the cost of the property. It can also help to automatically process foreclosure forms so that the property can be transferred more efficiently once the foreclosure has been completed.
Work with DRS Imaging to Mitigate Risk for the Years Ahead
Our experienced team here at DRS Imaging understands the many challenges that financial services teams face in providing loans to clients across the local industry. They must manage client data safely so that sensitive information is kept private.
They must process loan details efficiently so that loans can be completed within a consolidated timeframe. And they have a responsibility to conform to the latest regulatory standards regarding data management and storage. That’s why we’ve become one of the leading partners for mortgage providers looking to automate their working processes.
From the origination process through to foreclosure management, our software ensures that documents are handled sensitively and processed efficiently. Our software also ensures that your assets are allocated effectively so that risks are reduced throughout the mortgage and loan lifecycle. To discover more about our company and the full range of benefits derived from our software, please contact us today.