How to Automate Loan Processes

I just showed my financials to a mortgage tech executive. He couldn't believe what he was seeing. Our all-in manufacturing costs cost per loan: 34 basis points. • Opening (no employees - fully automated) • Processing • Underwriting • Closing • Funding • Post-Closing • QC Industry average: 64 bps per loan. His reaction: "How is that even possible?" We were at 64 bps. Then I heard a podcast from Stan Middleman saying Freedom was at 30 bps. It drove me insane - once I know something is possible, I’m a dog with a bone about it. Many companies have zero idea what their real costs are. That’s the first step. They know they have a problem. But they don’t know what to do about it. We spent 3 years rebuilding our entire cost structure: • Tracked every minute of every employee's time • Connected time tracking to payroll data • Built dashboards showing cost per funded loan • Identified exactly where money was being wasted What we discovered: Absolute chaos. Go spend a day with a closer or processor. It’s incredible that they accomplish anything. The difference isn't talent. It's systems. It’s data. It’s aligned incentives. It’s ruthless prioritization. Example of broken mortgage operations: Processor gets a file. Needs to order title work. • Opens an email • Manually enters borrower information • Sends email to title company • Calls title company to confirm order • Emails loan officer to update status • Updates file notes in 3 different systems • Sets manual calendar reminder to follow up Our system: API call automatically orders title work when file hits processing using AI to extract the data from the Purchase Contract. Borrower gets automated text with timeline. Loan officer gets automated status update. No manual work required. The result: What used to take 30 minutes now takes 30 seconds. Multiply this by every task in the mortgage process. That's how you get from 64 per loan to 34 basis points.

Reduced loan underwriting time by 50%   (Check out the 4 AI Agents that made it happen) Loan approvals happening in half the time! With improved accuracy and a better customer experience. Not a distant future – it's happening right now. We've just helped a European bank customer achieve these results using a team of specialized AI agents. The impact? Dramatic improvements in efficiency, compliance, and decision-making. Here's how we did it: 1: Loan Origination Agent -- Powered by Azure AI services using GPT-4 and GPT OMNI -- Streamlined application process with instant, customized checklists for complex loans -- Result: Reduced errors and sped up approvals for hundreds of daily applicants 2: Loan Underwriting Agent -- Utilizes RAG Azure AI Services and OpenAI ADA embeddings -- Retrieves key data from lending history, real-time market data, and regulatory guidelines -- Helps loan officers deliver accurate risk assessments on high-value loans Ensures compliance and improves decision-making 3: Loan Audit and Compliance Agent -- Fine-tuned with T5 and LoRa -- Continuously reviews past decisions and flags anomalies -- Keeps the bank compliant with evolving regulations -- Minimizes computational costs 4: Loan Self-Reflection and Optimizing Agent (my fav) -- Leverages Codex and Autogen -- Learns from past underwriting decisions -- Makes the entire process smarter and more efficient over time .................................................................................. The bank is already seeing tangible improvements in processing times and accuracy while maintaining robust compliance. Will share more detailed results after the quarter closes. Which of these AI Agents could have the biggest impact on your underwriting process? #AIinBanking #FinTech #AIAgents

This lender went from 7-day clear-to-close to a 7-day close using agentic process automation. Most "AI solutions" in mortgage are just rebranded BPO operations with fancy interfaces. But one of the largest wholesale lenders just proved AI can actually transform lending operations. Here's what they did: They implemented agentic process automation in their closing department. The results? • Went from 7-day clear-to-close to 7-day total close time • Reduced closing staff from 14 people to just 3 • Maintained compliance and quality standards • Scaled operations while cutting costs Here's why this matters: Most lenders are rushing to implement chatbots and "AI assistants" with: • No clear strategy • No compliance guardrails • No real value proposition But this lender focused on applied AI - automating existing processes with measurable ROI. The key difference? Applied AI takes work you're already doing and makes it more efficient. Like using AI to process closing packages in seconds instead of days. That's real value.