MReport July 2018

TheMReport — News and strategies for the evolving mortgage marketplace.

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26 | TH E M R EP O RT FEATURE Automation at this level can move extremely fast, meaning applicants don't have to wait until after their originator is out of that meeting or finished with that phone call to get a response. Additionally, if further or different documents are needed, the process of gathering those missing docu - ments can be started immediately, keeping the application moving without delay. Automation also removes the component of human error, as this technology minimizes the potential for data entry hic - cups. For an industry steeped in paper, digital document automa- tion is a significant boon for both speed and accuracy. Although some people might be concerned that all this automation will make people less important, the opposite is true. These technological improvements allow people to focus on higher value activities and on delivering an exceptional customer experience, as they will have more time to work one-on-one with the client and ensure that processing exceptions are resolved in a timely manner. By delegating back-end data processing tasks—whether it be for origination or servicing or one of the other many components of the complex mortgage process—mort - gage professionals will be able to focus on the kinds of discerning decisions that are critical to getting customer the right level of service to meet their specific needs. Utilizing the Information Highway T he move toward digital trans- formation has also moved the industry forward in terms of access to data. Those details captured during the mortgage lifecycle among the many hun - dreds of pages of documentation, while unwieldy in their paper form, are data-rich sources once digitized and accessible via auto - mation. Processing and financing mortgages generates a wealth of data, from information such as which loan products are the most popular to where the most loan activity is happening. But this data must be pulled together in a responsible and meaningful way. Accessing and analyzing this information can help mortgage companies evaluate their performance and pinpoint where there is a need in the market. But it can also help them serve their existing customers better, as well as help origina- tors to locate clients who might be in the market for a refinance or similar product. By leveraging advanced algorithms that analyze a customer's data, mortgage professionals can be primed to ap- proach customers at the right time and with the right product that is not only in line with changes in the market but also aware of the customer's impactful life events. This data can be even more useful to companies with interests across the spectrum of the home buying and financing spectrum. For instance, if a company has branches in real estate sales, mortgage origination, and servicing, there is even more data to be mined and analyzed. This rich supply of data can give everyone involved better insight into the overall picture for each client, versus the narrow view typically seen by each segment of the process. And, of course, this means greater global data, as well, helping the company to make better business decisions about products and services based on concrete information from their client base. Protection on All Fronts O f course, with increased digital and automated technologies come increased challenges, and paramount among them are the risks posed to the privacy and security of customer data. Along with keeping up with the latest technological advances, it's imperative for mortgage companies to fully commit to customer privacy and security, as protecting client data is every lender's responsibility and should be its highest priority. Internal risk-mitigation measures should focus on the three key components: people, process, and technology. This focus requires oversight and measures in place that cover all aspects of not only the data being gathered, but of the people working with that data across the company, from originators to underwriters and more. That means robust training for personnel and support for that training, from the top down. Daily processes, such as change authorizations, should be ingrained with best-practice basics. The technology itself should be constructed with layers of monitoring built in, to provide proactive and reactive responses to any threat. In addition to making sure their security is of the highest quality, mortgage companies must also ensure that any and all third-party vendors also maintain the strictest security protocols. Companies have the responsibility to do their due diligence and discover the details of how data is stored, transported, or shared by their partners. With today's technology, risk should be examined at every layer in any partner relationship, as it is not only good for the company but also critical for the consumer. The Wheel of Change A lthough the mortgage indus- try is often seen as slow to change, change comes nonetheless, with technology advancing and moving the industry forward. As digital documentation becomes the standard, new automatic pro - cesses can be put in place, freeing up time for mortgage professionals to focus on clients and higher- level decision-making. This digital data can then be analyzed to help mortgage professionals, regardless of their role, to better serve clients with the appropriate products and services. The right technology can help bring together the mortgage originator with the servicer, the title company, the real estate brokerage, and more, creating a seamless experience for the client. As technology continues to ad - vance, it should remain in service to the people it strives to help. This kind of technology not only enhances the work experience for employees and the service experi - ence for clients, it also enhances the quality of the products created as well. BRENT RASMUSSEN joined Carrington Mortgage Holdings in 2011 as EVP and Chief Information Officer and is responsible for setting the technology strategy and direction for the company and its operating units. With more than 20 years' enterprise technology management experience, he oversees every aspect of the company's technology. Prior to joining Carrington, Rasmussen spent three years in a similar role as the CIO at, and was instrumental in creating the e-commerce platform that handles the transactions for online auction sales of residential and commer - cial REO, as well as mortgage notes. Previously, he was the CIO for Credit Suisse's servicing business for eight-and-a- half years, and built out the firm's national servicing platform. He is a graduate of the University of Utah and holds Bachelor of Science degree in Business/Information Technology. Internal risk-mitigation measures should focus on the three key components: people, process, and technology.

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