Customer Experience in the Loan Origination Industry: It Needs to Improve

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There has been a significant shift recently from the retail market to the broker market for loan origination. This shift has led to a substantial rise in business for MLOs and has allowed them to scale. While this may seem like a positive, one area of the process appears to be hurting: the customer experience.


With the increased business in the loan origination space comes increased workload. With each new client, there is more paperwork to be done, more phone calls to be made, more statuses to monitor, and more overall back-office work.


All of this carves out a significant portion of an MLO’s workday, leaving little time for the customers themselves. And coming from the borrower’s standpoint, this doesn’t exactly lead to positive affirmations regarding their loan originator and their level of service. The loan origination process needs an update.


Sure, we’re doing a lot of work on the back end to ensure they can close on their dream home, but they aren’t aware of it. In the eyes of the borrower, the entire process should be much more personal.


And can you blame them? After all, this is the largest purchase many of them will make in their lifetime.


The buzz on loan origination.

We came across an article recently that related the mortgage buying process to that of going to a dentist to have teeth pulled.


Ouch. Not a great customer experience.


Coming from the viewpoint of the buyer, we can see why they would want more attention. They are about to enter into a significant commitment, and they want to ensure everything is in order. 


To the customer, this isn’t a simple transaction. There’s a lot of emotion on their side. They are entering into a major commitment, and it’s a highly stressful process for them. There are many documents to be signed and financial decisions to be made. 


If a broker can reach the borrower on a personal level rather than a business transaction level, the negative perception surrounding customer experience in the loan origination process could turn. 


Unfortunately, it isn’t always possible to hold their hand and walk them through the process. As much as we’d like to be there to share the emotion of the event, there aren’t enough hours in the day to properly support to each client.


Not with the current processes in place, anyway. 


Automating loan origination processes with Wemlo

As MLOs, we hold multiple job titles. We’re marketers, we have meetings to attend, and we also need to ensure that clients’ loans are closing. We need to run an effective business but must also worry about where we’ll find our future business.


Sometimes brokers get so busy trying to find their next client that they forget the one they’re working with currently. They forget how much emotion there is on the other end. To the borrower, they are cashing in on the American Dream of purchasing a home. They are entering into what may be the largest purchase of their lifetime. 


MLOs need to find their next client. They need to perform these back-end tasks to ensure that the borrower’s loan is processed correctly and on time. Still, brokers must place themselves in the shoes of the borrower to increase that CX, or customer experience. 


Being able to automate many of these back-end tasks will clear time in your schedule to be able to accommodate these borrowers. In turn, happier clients will follow. And as we’ve seen first-hand, satisfied customers lead to future business through referrals. 


Interested in improving your customer satisfaction?

The loan origination process doesn’t have to be so time-consuming. In a world where digital technologies assist in everyday tasks, Wemlo has simplified your workday to free up your schedule.


Take back your time and spend it becoming a part of your borrower’s journey into being a homeowner. Schedule a demo today to see how we can help eliminate some of your tedious tasks.