The Pivotal Role of BPO Providers in The Mortgage Industry

Every mortgage business looking for scale and growth will consider outsourcing services at some point. Loan processing requires highly meticulous and specialized skills that are well suited for outsourcing due to its predictable and repetitive nature.

The high volume and time-consuming nature of loan processing also makes it a key area for cost saving and efficiencies for lenders, brokers and banks. Evolving regulatory requirements also affect the amount of attention required to loan processing particularly in regard to post-closing activities.

Furthermore, ensuring efficiency in loan processing has a direct impact on the end customer as any mortgage lender knows that speed is one of the major contributors to closing.

Specialized mortgage process outsourcing partners such as HelioNext have played a major role in the US mortgage market to improve the overall cost, easy and efficiency of loan processing and servicing. The impact of outsourcing can be seen through the benefits that mortgage businesses have experienced, and we will look at some of these key benefits below.

Streamline Processes

Mortgage loan processing is neither simple, nor easy. From start to finish, there are hundreds of tasks that can be seen within the different phases of application, pre-approval, processing, underwriting, closing and post-closing.

Outsourcing partners have had a major role in streamlining these processes by merging disparate data sources, improving the sequencing, and automating with technology where possible. The ability to close loans within 30-45 days nowadays can partly be attributed to the role of outsourcing partners.

Drive Cost-Efficiency

One of the major reasons that mortgage professionals turn to mortgage BPO companies is their ability to reduce costs. Using a global shared service model, having specialized teams and proprietary technologies all enable efficiency at scale which is not be possible for an individual lender or broker to do individually in-house.

Improve Customer Service

Customer service is critical in the mortgage industry and the ability to provide a seamless customer experience has a lot to do with the configuration of your back-end processing to accelerate the process, minimize errors and recall, and productivity improvement.

Furthermore, by taking over the more tedious processing tasks this enables your business professionals to provide greater focus on customer support and satisfaction.

Utilize The Best Systems & Software

Due to the highly specialized nature of mortgage loan processing, outsourcing partners like HelioNext are able to invest heavily into industry-leading systems and technologies that improve back-end processing. These investments are often cost-inhibitive for individual mortgage businesses but can be accessed readily when working with the right partner.

Part of the role of BPO companies in the mortgage industry is to develop and giving mortgage professionals access to the latest systems and technologies to improve the mortgage process.

Reduce Errors & Rework

When your business processes are streamlined and expedited, there will be a major reduction in errors. Outsourcing partners like HelioNext use professionals that are highly trained with extensive experience in US mortgage processing. Therefore, you don’t have to worry about the errors that might occur when training and in-house team. The benefit of reducing errors is two-fold; one in reducing the overall turnaround time and secondly through the avoidance of rework and problem-solving.

Focus on Your Core

Running a business within the mortgage industry is complex and would require your ability to juggle the multiple facets of payment processing, customer and investor relationships, tax monitoring, accounting and underwriting along with all usual regulatory obligations.

Outsourcing partners like HelioNext allow you to focus on the core of your operations while taking care of the rest. Whether your objective is to grow the business or simplify, an outsourcing partner can help.

Respond to Regulatory Changes

Significant considerations is required when regulatory changes are announced, and the practical implications can often be overlooked for those not involved in the detailed day-to-day processing of loans. Mortage BPO companies are constantly scanning for the latest information from regulatory bodies to ensure their back-end processing align with best-practice.

Outcompete Industry Peers

The mortgage industry is extremely competitive and finding new ways to become more effective and efficient is of utmost important to ensure you are keeping par with competitors and ideally doing better. Working with an outsourcing partner such as HelioNext will give you insight into best-practice and what other players in the market are doing in order to help figure out what your own competitive edge.

Outsourcing within the mortgage industry has been considered by many as an essential component of any successful business. HelioNext has been a partner for choice over 15 years and helped many businesses scale with efficiency. Reach out for an executive call and find out how outsourcing can benefit your business.

Pallav brings more than 14 years of expertise in US Mortgage operations and also leads our Legal Processing division. Speak to Pallav today to see how HelioNext can help your mortgage business.