Docutech Insights

What’s Next for eNotarization

Posted by Docutech on Dec 6, 2016 9:00:00 AM

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Recently, our own Harry Gardner penned an article for the October issue of Mortgage Banking magazine entitled, “The E-Notarization Challenge: 50 States of Grey.” As Gardner pointed out there, getting all 50 states to fully support electronic notarization is a serious challenge facing the industry. We need to overcome it if we hope to have end-to-end electronic mortgages.

 

We caught up with Gardner recently and asked him for an update on the status of eNotarization and what has changed.

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Topics: Technology

Where is Your eClosing Platform?

Posted by Harry Gardner on Oct 6, 2016 9:00:00 AM

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The mortgage industry continues to progress slowly toward the Holy Grail of a completely paperless process. As different technology providers enter the eMortgage space, a variety of partnership arrangements have evolved in order to piece together the various components needed for a fully electronic mortgage solution. Let’s explore those components, the different ways they can be assembled, and the possible advantages and downsides.

 

First, you need the documents themselves, of course. Mortgage disclosure and closing documents are typically generated either by the Loan Origination System (LOS) software, or by a third-party doc provider like Docutech. LOS-generated documents typically don’t cost extra for the lender, but may involve tradeoffs in terms of compliance quality, custom doc management, and responsiveness – and the LOS vendor may not rep and warrant their legal compliance the way a doc provider would.

 

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Topics: Technology

Does Your Mortgage Loan Doc Prep Solution Support Your Mortgage Process Improvement Goals?

Posted by Tony Inskeep on Oct 4, 2016 9:00:00 AM

Does Your Mortgage Loan Doc Prep Solution Support Your Mortgage Process Improvement Goals?

Based on today’s heavily regulated mortgage industry, financial institutions are re-evaluating their key goals and strategies to ensure they are not only meeting the latest compliance guidelines, but also doing so in the most cost effective way possible. While each institution is unique and shares different goals, the overarching theme for mortgage improvement across the industry points to increased efficiency and improving customer experience as the leading goals institutions are working toward.

 

For the mortgage industry, increasing efficiency points to a variety of areas within the institution, most importantly the overall loan process. In 2016, it is more expensive than ever before to manage the full lifecycle of a loan due in large part to changing regulations. In Mortgage Daily, the Stratmor Group reported the cost per loan was up 150% for retail lending, 166% on consumer-direct originations, 202% for broker lending and 82% on correspondent lending. The goal is simple: streamline the loan process to decrease the time and money needed to manage today’s mortgage procedures. But how?

 

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Topics: Technology

Preparing for Electronic Mortgage Lending

Posted by Harry Gardner on Sep 20, 2016 9:00:00 AM

Preparing for Electronic Mortgage Lending 

Having been in the business of helping lenders on the path to paperless for a good portion of our 25 years of service, we have seen many management teams approach eMortgage. Because this territory is so new for many, some companies stumble or hold back when they are on the very cusp of updating their institutions for the future. Fortunately, today there are many great resources available for the lender who wants to prepare for and then enter the world of electronic mortgage lending.

 

Resources to help

Almost every lender knows of or has at least heard about the many benefits of going paperless. They understand the time and cost savings, the improvements to process flow and the compliance benefits. But too often they just don’t know enough to make the decision to move forward and they stall.

 

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Topics: Technology

What Happens when you Drive Loan Processes with Data

Posted by Justin Summers on Sep 13, 2016 9:00:00 AM

What Happens when you Drive Loan Processes with Data

The mortgage industry is a document-centric business; you can’t get around it. If they don’t have the right documents, financial institutions can’t sell loans into the secondary market. This is an exciting time, because that no longer means that documents have to be printed on paper. So in working toward that new electronic workflow, business should be no longer driven by the documents themselves, but rather the data contained in them.

 

Getting to data-driven documents

Initially, lenders created digital versions of the original paper documents lenders as they moved to adopt electronic documents. This was a great first step, but forced consumers to deal with static forms that are difficult to modify and caused time delays waiting on changes to be enacted. Data-driven documents, have dynamic data points that hold the required data for each individual loan.

 

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Topics: Technology

2016 ESRA Summer Meeting Recap

Posted by Harry Gardner on Aug 23, 2016 9:00:00 AM

2016 ESRA Summer Meeting Recap

With most conferences we attend, there are multiple speakers and comprehensive sessions spread out across several days; however, in the case of this year’s Electronic Signature & Records Association (ESRA) Summer Member Meeting, immersive sessions and speakers were jam packed into one in-depth day.

 

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Topics: Technology

Three Often Overlooked Things Every CIO Should Ask About Loan Document Software

Posted by Docutech on Aug 16, 2016 9:00:00 AM

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CIOs have a unique perspective on a financial institution’s technology investments. Operations and sales managers evaluate the impact a new tool might have on efficiency, cost savings or ease of use. The CIO and CTO, on the other hand, also need to ensure that the software works, is secure and can grow with the bank or lending institution.

When it comes to loan document preparation software, there are some specific areas every CIO is concerned with. Regardless of a specific institution’s needs, any loan document software should be able to answer four key questions:

1. Is it secure? Cybercrime is one of the biggest threats facing financial institutions today, and loan documents handle sensitive personal consumer data. One of the most important questions CIOs will ask is how the software ensures data security.

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Topics: Technology

Courts Laying the Foundation for Paperless Mortgages

Posted by David Aach on Jul 26, 2016 9:00:00 AM

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When it comes to paperless mortgages, lenders know what the advantages are – lower costs, more flexibility and a faster closing process. But despite the advantages ditching paper provides, widespread adoption of paperless mortgages has been extremely slow.

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Topics: Technology

Battle Royale: The Struggle Between SMART Docs and PDF Forms for Mass Acceptance

Posted by Harry Gardner on Jul 8, 2016 9:00:00 AM

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Do you remember Beta videotapes? How about 5.25-inch floppy disks? Eight-track tapes? Each of these technologies fell victim to a rival format – VHS, 3.5-inch floppies and cassette tapes – which in turn have all faded away as better technologies like DVD, CD-ROM and MP3 have become available.

 

The mortgage industry has a similar showdown looming. With lenders and investors rapidly adopting more electronic documents to better comply with TRID and save time and money, two eDocument formats have squared off.

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Topics: Technology

Moving from Static Forms to Dynamic Loan Documents

Posted by David Aach on Jun 7, 2016 9:00:00 AM

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In a previous post, we talked about the move away from paper loan documents and the concept of a form, which is basically a static document with spaces to hold specific data that must be manually changed. This migration away from forms and toward data driven loan documents is enabling great improvements in processing speed, customer satisfaction and the development and release of new loan products.

 

In the old days of static loan forms, complicated technologies were require to pull data out of the document for use in the lender’s processing system. In most cases, lenders were forced to scan a document into their systems and then count on specialized technology to pull the information out of the document image. There was a lot of X and Y coordinate measuring going on. If the loan document did not look exactly as expected, errors resulted. There was also no way to account for additional space. A long address, multiple buyers or complicated information could often not fit into the predefined space allowed for each field.

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Topics: Technology