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MortgagePoint » Your Trusted Source for Mortgage Banking and Servicing News 32 April 2023 F E A T U R E I f it seems like the pace of technology is constantly accelerating, it's because it is. It's called accelerated change—the exponential rate at which new innova- tions are creating profound changes in the way we live and work. For example, typewriters existed for nearly 100 years before the first word proces- sors emerged in the 1970s. By the 1990s, most people were using Microsoft Word on their personal computers. Today, we're seeing the launch of new AI technologies that can write for us … if we want them to. It may not always seem like it, but new technologies like AI, machine learning, and intelligent automation technology are evolv- ing in the mortgage industry at a rapid pace. While many mortgage processes remain rooted in paper and manual effort, the industry is on the verge of a seismic shift in digital innovation that promises something for everybody—lenders, servicers, data pro- viders, component services, and consumers alike. AI, ML, and Intelligent Automation O ver the past several years alone, our industry has seen a number of new, visionary technologies, especially in the areas of AI and machine learning. While it's true that many applications of AI and machine learning still need to be evaluated and proven through proofs of concept and real-time mortgage scenarios, that work is already starting to happen. For example, right now, emerging technologies like machine learning tools are allowing lenders and servicers to optimize their data to create a holistic view of their customers and analyze prepayment behavior to forecast when a customer benefits from certain products and services, whether it's a home equity loan to pay for a child's college tuition or a borrower who needs mortgage relief. AI and machine learning are being leveraged to prioritize delinquent borrow- ers who require higher levels of attention as well as to optimize when and how to connect with borrowers in the most effective way possible. As the applications continue to be refined, AI, machine learning and chatbot interaction technologies will accelerate adoption of smart process automation far beyond what lenders and servicers are cur- rently capable of. For example, AI can be used to leverage existing data and produce new data to enable systems to perform bulk processing of similar processes. This has already taken place in the servicing arena, when servicers with the right technology platform were able to bulk process borrower requests for forbearance during the pan- demic. Bulk processing automation today can assist with pre-foreclosure analysis and QA among other servicer processes. Two other developments that will fast- track the adoption of AI are the ongoing development of industry standards and ad- vanced application programming interfaces (APIs) that allow faster, simpler connections between systems, which will create more seamless collaborations between different THE INDUSTRY'S FUTURE IS BEING WRITTEN TODAY The industry is on the verge of a seismic shift in digital innovation that promises something for everybody—lenders, servicers, data providers, component services, and consumers alike. B y J A N E M A S O N J A N E M A S O N is CEO and Founder of Clarifire and the original architect behind CLARIFIRE®, a workflow automation solution that brings all parties within mortgage servicing operations together onto one secure application. She is a recognized leader in technology solutions for the financial services and mortgage industries. With over 15 years' experience in financial services technology, Mason started her career in business operations, quickly becoming an executive of an interna- tional law firm. As an entrepreneur and innovator, Mason has received numerous awards and accolades for her service in local business and the national mortgage stage.

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