How to speed up your loan processes in the Content Cloud

Anyone who has ever applied for a loan knows that there's a lot of paperwork involved. Depending on the type of loan, a customer might need to submit multiple proofs of income, bank statements, identification, and credit history. The processing and approval time can take several weeks, if not a month or longer. The type of loan and its requirements influence overall processing time, as does the lender's platform to process the loan.

When someone applies for a loan, their application needs to go through an underwriting process. During that process, a person's financial information gets reviewed, and the lender decides whether to let a customer borrow money and how much to lend them. Loan processing software can speed up the review and underwriting process, so loan approvals can quickly happen.


What is loan processing software?

Loan processing software automates the process of originating and underwriting loans. A loan processing software platform can speed up the time it takes to approve loans by providing you with a place to upload and manage loan documents. Your financial institution can use the software to collect information from borrowers, then sort that information and assign it to users for review.

Since the software will handle confidential documents, such as borrowers' tax forms and bank statements, it needs features that ensure privacy and compliance. The content uploaded to the software platform should be encrypted to prevent a bad actor from intercepting and reading it. It should also have permissions attached so only authorized users can access it.


How cloud software for loan processing works

Time is of the essence when reviewing and approving loans. People shopping for a new home or who need a loan to make another substantial purchase, such as a new car or home renovation, need to know if they are approved for a mortgage or another loan type sooner rather than later. If it takes weeks or months to get approval, they might move on to another financial institution.

A borrower who finds it frustrating or complicated to complete a loan application is also likely to move on or work with a different lender. Fortunately, loan processing software eliminates potential delays, such as misplaced documentation or missing application answers, allowing you to review and approve applications more quickly.

All of your content, including supporting documentation collected from customers during the loan application process, is stored online when you use cloud software. You don't have to dedicate physical space to applications or invest in filing cabinets or external hard drives. Once the supporting documents and applications are uploaded to the cloud, your team can access them from any internet-connected device. Having easy access to applications means your team can review them even on days when they can't come into the office.


Loan servicing software step by step

There are a few simple steps to follow when using loan processing software.


1. Gather financial information

The first step is to have your customer submit the relevant documentation. Depending on the type of loan, you might need them to submit bank statements, pay stubs, and Forms W-2. You can send your customer a request for documents using a customized Box request form. You can tailor the form's design to suit your business needs and choose the fields to include. Depending on how many types of loans you offer, you might have several request forms.

Once the customer gets the request, they can upload the documents to the form from their own devices.


2. Access the file and apply permissions

After you've received the forms from the customer, you can apply confidential permissions to them. Box uses granular permissions that let you determine who can view or access the files or where the files can be downloaded. For example, you might restrict access to a customer's Form W-2 or bank statements only to internal team members or set permissions on the file so only the person who created it can download it.

Having complete control over a file's permissions ensures that only authorized individuals can get their hands on it.


3. Assign tasks

The third step is to assign tasks to other team members. You might create a task asking a colleague to review a customer's Form W-2 or bank statement. You can create the task in the software itself. The platform will then send the team member an email with your message and a link to the document for review.


Benefits of using Box loan processing software

The Box Content Cloud helps financial institutions create streamlined processes for a better customer experience. Our platform allows you to speed up the application process using automated forms. Customers can send you all of the required documentation securely and immediately. You don't have to wait to receive a form via the mail or courier. The built-in security features of the Content Cloud also mean that all customer paperwork and documentation is managed in compliance with privacy regulations and standards, such as FINRA.

Our loan processing software works with other Box features, such as e-signature. Customers can sign their loan applications directly on their devices without printing out and sending in a physical copy. E-sign helps to streamline the approval process, leading to faster processing and happier customers.

If your financial institution is already using another platform for customer management, such as M365 or Salesforce, Box can integrate with those platforms. Our custom app integrations allow you to keep all the information about your clients in one location, reducing the need to scramble or hunt around for documents or customer details.


Learn more about Box today

The Content Cloud does more than speed up loan processing times. It can also help your financial institution onboard clients, enhance collaboration between you and other team members, and remain compliant. To learn more about the Content Cloud, contact us today.


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