Paperless Workflow for Mortgage Bankers with Document Capture Technology
January 17th, 2017 by Guillermo Fernandez
Mortgage bankers today are faced with processing a tremendous volume of paperwork for each mortgage loan they need to consider. With ever-changing regulations and requirements, the size of standard loan paperwork has increased to 700 pages – and it is not uncommon for a mortgage package to reach over 1,000 pages.
With this kind of volume, financial institutions can easily process over four million pages of mortgage packages per year.
In addition, information technology employees are often tasked with handling more than 225 different document types all at once, which could make it difficult to accurately identify and index each type without assistance.
Document Capture Technology
Mortgage bankers are actively searching for a better approach to help handle large document packages and simplify the overall workflow. Thorough research often points to document capture technology as the best solution. Document capture technology can quickly and efficiently identify all those pages rather than tasking all those employees with manual identification, which can offset cost, decrease time spent and eliminate an overwhelming volume of paperwork.
Document capture technology can also help mortgage bankers move faster toward a paperless workflow, which is sweeping the entire world of business as the most efficient way to get work done.
Ephesoft Transact & Kodak Capture Pro from Van Ausdall & Farrar
By implementing a combination of Ephesoft Smart Capture® and Kodak Capture Pro scanning from Van Ausdall & Farrar, a loan processing department could:
- accurately classify and separate 95% of documents automatically
- cut classification processing time from 45 minutes per loan to under 5 minutes
- dramatically decrease manual labor costs
- recognize a return on investment is under 5 months
Kodak Capture Pro software reads bar-coded documents while Smart Capture identifies and processes the remaining parts of the document. Ephesoft relies on Optical Character Recognition (OCR) results to compare each image to a defined set of documents, then properly categorizes each document type. Essentially, this employs a scoring algorithm like Internet search engines to provide a confidence level for each page and document.
What VAF’s Hybrid Can Do for You
By implementing a hybrid solution like Smart Capture® coupled with Kodak Capture Pro, a once lengthy and inefficient process for mortgage loan processors is cut down to mere minutes, with very high accuracy.
Mortgage files that could have a process time of up to 45 minutes can take only five minutes or less to get through the system. The Ephesoft system also gives users the ability to create new document types – a vital feature due to constantly changing regulations and forms.
Mortgage bankers could expect a full return on investment within six months, and are likely to be inspired to expand the Ephesoft hybrid solution to other departments, such as retail branches and brokers, bringing their entire organization to a completely paperless workflow supported by Ephesoft.
Posted in: Insights from VAF Blog
