ORLANDO, Fla.-As overall mortgage market volume has declined 19% in the past year, one company has seen an 18% increase in such applications.
Mortgagebot, which launched its Mortgage Marvel solution in late 2007, said the self-service channel has proven to be an effective means for credit unions to build mortgage loan share. The company has now added a suite of solutions it calls PowerSite Advisor, which is a non-expert point-of-sale service with components aimed at consumers (known as PowerSite Consumer), branch and call center staff (known as PowerSite Advisor), and full-time loan officers (known as PowerSite PRO).
Mortgage Marvel enables any consumer to shop mortgage lenders, including credit uions, and to compare rates and fees. (For more information, search "Mortgage Marvel" at www.cujournal.com.) The company pointed to research by Deloitte Consulting showing more than 70% of all mortgage shoppers start their search online, but just 30% say their lender has a tool to provide customized product recommendations.
"Credit unions have awakened to the fact mortgages can be a core product," said Dan Welbaum, VP-chief marketing officer with Mortgagebot. "They are leveraging the online channel to make it easier to do business."
The same Deloitte research shows 50% of consumers have expressed dissatisfaction after doing business through the online channel. Where credit unions can learn from one of the things airlines have gotten right, said Welbaum, is in providing an integrated channel for both consumer and the airline. "In lending the borrower often has to use a different system at every touchpoint," he said.
With PowerSite Advisor, the application appears the same to all users. The applicant can leave the process at any point and access it again at another point with all data saved. "It's the same database across multiple channgels," said Welbaum, noting that a member who enters a credit union seeking to apply for a mortgage doesn't need to wait for a loan officer; a teller or MSR can start the process with the member after about 15 minutes of training.
"Aggressive" credit unions, he noted, can see which members started the application process but didn't complete it, and can follow up with the member. Welbaum said 30% of Mortgagebot's 800 clients deploy the solution in branch. "The whole idea is not to turn anyone away."
As for Mortgage Marvel, since introduction Welbaum said the company has increased its share of credit union users, and added new features, including video training, Web 2.0 functionality, Google Maps to find branches, and real-time chat with Mortgagebot reps. Borrowers who come to the CU through the Mortgage Marvel portal, he said, have been shown to have higher credit scores and are approved for higher LTV loans.
