How our Document Management System Makes Life Easier for Mortgage Lenders
December 10, 2021
The digitization of much of the mortgage process has led to efficiency gains for mortgage lenders in the last decade or so. But even when lenders have a state-of-the-art LOS, they often struggle to find effective solutions for document management.
That’s because today, most Loan Origination Systems include document management solutions that don’t provide the ideal interface and tools needed by people working for the mortgage industry. They’re better than a fax machine and a filing cabinet, but they still require a lot of time on the part of loan officers, processors, and underwriters to ensure the right documents get to the right people in time to close loans.
Our document management system is different. It was built from the ground up over many years of side-by-side collaboration with real lenders processing real loans. Here’s how it makes life easier for mortgage lenders.
Background: How We Build Document Management Solutions for Mortgage Lenders
Every mortgage lender is a little different, but their document management needs are similar. So we developed a code base for core document management functionality that we then customize as needed to ensure our clients have custom solutions that meet their unique needs.
This lets us be as efficient as possible with our time and resources while also ensuring that every client who engages us for a document management solution enjoys the functionalities that we know work for mortgage lenders and others in the industry.
To understand what this looks like in practice, let’s take a look at how our solutions make life easier for loan officers, processors, and underwriters.
Loan Officers: Less Time Tracking Docs, More Time Selling
Without an efficient document management system, loan officers and processors end up spending their valuable time chasing down documents from borrowers, verifying signatures, searching their inboxes for current versions, reformatting, renaming, and so on. That’s all necessary to ensure loans close, but it’s not a good use of their time.
Our system dramatically cuts down the time LOs spend on document management, thanks to these three features:
- Left-hand / right-hand visual document organization: When an LO logs in to the document management system, they see documents sorted into two sides based on status. For example, docs on the left-hand side might still need review and those on the right-hand side might be underwriter-ready. This means the LO can see at a glance what work they still have to do on a given loan. (See Figure 1.)
- Visual “tree” presentation of documents: This presentation creates “branches” beneath file names to capture notes, version information, and comments. LOs can also tag documents by color to indicate various statuses. Again, this means that an LO can get information quickly and review what actions have already been taken. (See Figure 2).
- In-context document-request functionality: When an LO sees that a borrower’s loan is missing necessary documents, they can, from within the document management platform, compose a request to the borrower asking for the documents in question. Crucially, the document request feature lets LOs use merge fields and populate data from elsewhere to make sending these asks simple and fast. The borrower receives the request and can drop files into our secure web portal.
The result: LOs spend less time figuring out what’s going on with documentation and more time selling.
Figure 1: Docs are clearly delineated by status
Figure 2: Comments appear in “trees”
Processors: Seamless Pipeline Management
Processors are the main users of our document management solutions, and it’s in the processor’s day-to-day work where the platform’s benefits really shine.
Our system makes it easy to not only manage and organize documents for multiple loans but also communicate with borrowers, LOs, and underwriters.
Just as LOs can trigger document requests to borrowers, processors can trigger messages to anyone involved in documenting and approving the loan.
For example, if, when a borrower’s credit check comes back, based on their results, they may need to provide additional documentation, the processor can trigger a request directly from the system.
When documents are ready for underwriter review, the processor can message the underwriter, who can then access the documentation by logging into the system themselves.
And the process of gathering and uploading documents is greatly simplified with our document management platform: processors can drag and drop docs either singly or via bulk upload (see Figure 3). Based on the stacking logic the lender has determined, the documents will automatically populate in the correct order.
Figure 3: Simple drag-and-drop file upload
Another action a processor can trigger is an audit. If any document needs further review by any stakeholder, the processor can create a checklist for that person to complete; the system then notifies the person and they can immediately look at the document and complete the necessary tasks.
If you’re a lender that relies heavily on email to collect borrower docs, our document management system can monitor an inbox for those docs. It tracks keywords in the subject line and elsewhere, pulls the loan number, pulls the subject text, and routes and indexes the necessary attachments into the system.
Note that this isn’t an exhaustive description of how our document management system makes life easier for processors. If you’d like a full rundown, get in touch to set up a demo.
Underwriters: Keep Docs Together and Clean for Funding
Besides facilitating communication with processors, our document management system offers several benefits to underwriters, including…
- Easy markup, annotation, and tagging (see Figure 4).
- The ability to issue final stamps.
- The ability to make e-sign requests with a couple clicks (see Figure 5).
- Version control.
- Automated checklists
And because underwriters can do all this in a single location, it’s much easier to keep files together and clean for funding.
Figure 4: Tagging feature
Figure 5: E-sign request feature
Get a Document Management System that Works Better so Your Team Can Work Better
If you’re a believer in the wisdom of “work smart, not hard,” you can no doubt appreciate the benefit of a document management system custom built for the mortgage industry.
Compared to what’s included in today’s leading LOSes, our custom document management systems are more user friendly, more intuitive, and much more customizable. I’d love to show you how they work. Get in touch and we can schedule a 45-minute demo.