The Manual and Digital Touchpoints of a Loan

Coest2Coest Transcript

Jim Deitch:

It comes has to two things. One is this is a business that still has been very, very high content of human interaction and human touch and interaction as the customer relationship side to answer problems that a customer has is perfectly appropriate. That shouldn't be there. In fact, the research in this book that kind of touched on the 25 mavericks as well, so I'm doing the research that the best experience is a digitally enabled process where a human being either face to face or via telephone or email is responsible and can answer questions correctly. The first time when you put that together, the Jd power survey of mortgage satisfaction, the numbers get above 800 every time. If you don't and you slow down when you don't deliver what you promised, where you don't uphold those promises, when you come back and back and back at the same time looking for information that the customer believes has already been provided.

Very frustrating in the sport, but if you think about the retail side, the traditional retail mortgage banking loan officers go to officers. They want to do it their way, so typically and particularly independent mortgage bankers that are heavily retail, traditional retail focused. That's their process to accommodate the originated, which means that you don't always have the same basic process in place. Which means that then becomes dependent on the processor, the underwriter, the closure in the originator and we've done some research that shows that there are people when you chain them together, originator, processor, underwriter, closer part extremely fast and getting up stuff and there are other combinations that are extremely slow. It's clear and looking at the data that the few lenders that have really thought about the process in terms of the fastest path to the speediest path through the origination process, and there's not too many lenders are doing the diagnosis that says on average it takes three days to close a loan from applications to consumer closing at the title agent, so an agent or a title of training, but the variation and there's very wide.

The variation may be as fast as 25 days, 200 days and those tails on that. That standard deviation or we're customer satisfaction. Particularly the slowest part of the standard deviation is where customer satisfaction just pumps. So I've never met a lender that hasn't told me that there asked for better than the industry average, but when you look at the actual curve of how long each customer took. Yes, the average is 42, 43 days, but there's a lot of people that are 70, eighty, 90 days and you look at those files and you begin to look at why and that's where the real benefit of digital transformation can be had. When you look at why and you begin to see what slows things down and how can I, how can I speed that up? That is, that is the key.

Source: Brian Coester - Youtube Channel or you can watch the complete podcast here.