Your Small but Mighty Workforce: RPA in Mortgage Lending

11-05-2020

Like all businesses that generate or process significant amounts of data, mortgage lenders can experience dramatic improvements in efficiency through the use of robotic process automation (RPA). RPA leverages the work of “software robots”—what are essentially tiny computer programs—to manipulate digital information in any of a number of ways.

And, of course, being more efficient isn’t really the “end game.” RPA enables mortgage companies to get more done without increasing headcount, which produces a better bottom line. It also helps ensure accuracy and compliance, as software robots like our Buddha Botz perform their tasks exactly as programmed, every time. In other words, they never make mistakes that can require time and effort to correct, or that can lead to compliance issues. Here again, the time savings translate to less payroll expense and greater profitability.

Software Robots “In the Wild”

“OK,” you say, “I understand in theory what software robots do. But how, specifically, can they help my mortgage company?”

That, of course, depends on your company’s needs. However, in general, Buddha Botz in a mortgage lending environment setting can:

  • Retrieve data from many sources (databases, documents, PDFs, websites, emails, etc.) and compile it into a single file for review
  • Identify and categorize data
  • Perform quality assurance checks or data reconciliation
  • Move data from one internal system to another quickly and with 100% accuracy (so-called swivel chair processes)
  • Process transactions or portions of transactions

And, while software robots are designed to handle very specific tasks, they can be sequenced such that the completion of one task initiates the next in a workflow.

As for specific tasks that RPA can handle at various stages of the mortgage lending process, they include things like:

  • Verifying the accuracy of applicant-supplied information on forms
  • Ordering services like an appraisal or employment verification
  • Initiating or removing processing holds or stops based on defined scenarios
  • Updating loan attributes when changes are needed
  • Creating foreclosure/loss-mitigation checklists for analysts based on third-party data sources
  • Preparing for accounting team reconciliations by gathering necessary data
  • Performing testing and real-time data validations
  • Providing full auditability of processes performed

Identifying How and Where to Deploy Your Digital Workforce

While RPA can help mortgage companies in many ways, software robots are most useful with tasks that meet certain criteria. Specifically, they should be used:

  • For simple, repeatable, digital tasks. A series of robots may be able to handle more complex work, but each robot is only meant to handle a narrowly defined operation.
  • In technologically stable environments. Robots are defined to function with the specific systems and infrastructure where they’ll be used. If it’s likely that that technology will change soon, you may not want to implement all the robots you have in mind until you’ve upgraded/modified your systems.
  • For rules-based activities. Robots require structure and limits.
  • Where exceptions are few and easily handled. Processes that frequently require complex analyses and decisions on data handling should be left to human workers.
  • Where speed and accuracy are essential and/or hard for workers to maintain. Software robots can work rapidly, consistently and without stopping for as long as you need them to.

As anyone in the mortgage industry knows, there are countless activities that meet these criteria!

Once you’ve identified tasks that are candidates for automation, a good next step is to talk with a company like Buddha Logic that understands both mortgage lending and RPA. One of our automation experts can get information from you on your business objectives and explain how and where Buddha Botz can help you work more quickly, efficiently, and accurately.

To book a free, 30-minute exploratory phone conversation, call 720-739-1773 Ext. #1 or contact us online. There’s no obligation to work with us, and you benefit from insights that you can leverage whenever you decide to capitalize on RPA the way so many mortgage companies today are.

About the Author

Charles WeidmanCharles Weidman is the President and CTO of Buddha Logic. Charlie has over two decades of experience in the design, development and implementation of content services and business process management solutions. He is also an expert in robotic process automation. Charlie founded Buddha Logic with the idea that well-architected digital document capture and management processes are both beautifully simple and powerfully logical. Find and connect with Charlie on LinkedIn.