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Client StoryLoanComplete Brings New Efficiencyto Loan Processingat a Leading Bank
LoanCompleteClient ProfileBMO Harris Bank is one of the nation’s leading financial institutions. The bank provides a broad rangeof personal banking products and solutions through more than 500 branches, and offers fee-freeaccess to over 40,000 ATMs across the United States. The bank is part of BMO Financial Group, ahighly diversified financial services provider with total assets of 988 billion as of October 31, 2021.ChallengeBMO Harris was originating a large volume of home loans, but was havingtrouble getting the loans boarded correctly into its existing mortgage loanservicing software. An inefficient process was resulting in extra workhours and some lost documentation. The bank needed a solution that couldstreamline workflows and guarantee the accurate movement of data.SolutionThe bank installed LoanComplete from Fiserv, a life-of-loan solutiondesigned to complement the bank’s loan origination system workflow,servicing and compliance systems. The bank was now able to electronicallymonitor every loan being boarded, to verify that documentation and datawere complete and accurate.Proof PointsUsing LoanComplete, BMO Harris realized substantial gains in the efficiencyand accuracy of its loan processing. The bank was able to automaticallyclassify 98% of documents in the mortgage loan file, and accurately pullover 96% of the data elements from those documents into the servicingplatform. Active QC review was expanded from 10% of loans to 100%without increasing staff or workload. And the comprehensive reporting inLoanComplete made it easy to satisfy compliance audit demands.The new ability to have acentralized workflow‑drivensystem, capable of pullingin data from multiplesources, was somethingthat we didn’t have before.Then, having the ability togenerate reports was keyto our decision to installLoanComplete.”Anthony PyattLead Technology OfficerBMO Harris Bank
LoanCompleteThe Need for EfficiencyIn 2017, BMO Harris was originating a range of homefinance products, including fixed-rate mortgage loans,adjustable-rate and interest-only adjustable-rate loans,as well as a number of home-equity loan products.The bank was using a new loan origination system(LOS) and was having some challenges getting closedloans boarded correctly into its existing mortgage loanservicing software.Given the volume the bank was originating at thattime – which has grown even more since then – theinefficient process was resulting in too much employeetime and lost documentation. At the same time,BMO Harris executives were well aware that theConsumer Financial Protection Bureau was paying closeattention to lenders and servicers. The bank wanted toensure that the reports it was filing with its regulatorwere accurate and timely.“We went in search of a tool that was very intuitiveand had a workflow component that would increaseour efficiency and accuracy,” said Anthony Pyatt, leadtechnology officer and director at BMO Harris Bank.“Could we get reporting out of the tool and be confidentthat we could catch any exception that wasn’t postingcorrectly to the servicing platform?”The bank had an ongoing relationship with Fiserv formany years and decided to approach its technologypartner with this specific need. Out of that contact,BMO Harris discovered LoanComplete, a life-of-loansolution designed specifically to complement thebank’s loan origination system workflow, servicing andcompliance systems.A Comprehensive SolutionOnce it installed LoanComplete, the bank was ableto electronically monitor every loan coming out of theLOS as it was boarded into the servicing platform,ensuring that the documentation was complete anddata accurate.Using LoanComplete: Comparalytics, the bankbenefited from a special type of intelligent characterrecognition capable of scanning a 100-page loan closingfile, separating out the specific forms into discretedocuments then pulling the data from those forms.Once extracted, the data is automatically compared toa list of key data points pulled directly from the LOS foraccuracy. Exceptions are flagged and routed to qualitycontrol and tracked through LoanComplete: Loan Tracker,so nothing is ever missed.The bank also invested in a number of “tuning hours,”which put trained Fiserv personnel on the job ofanalyzing exceptions to tune the system to be moreaccurate over time. Ultimately, a system that started outprocessing 77% of all documents electronically – itselfa respectable number – eventually ended up automatingover 90% of the work.“The new ability to have a centralized workflow-drivensystem, capable of pulling in data from multiple sources,was something that we didn’t have before,” Pyatt said.“Then, having the ability to generate reports was key toour decision to install LoanComplete.”Solid ResultsWith LoanComplete in place between the bank’s LOSand mortgage servicing platform, BMO Harris wasable to automatically classify 98% of the documentsin the mortgage loan file and accurately pull over 96%of the data elements from those documents into theservicing platform.LoanComplete then provided a complete exceptionreport that enabled the bank’s staff to complete the workon the handful of documents remaining. This freed upstaff to expand active QC review from 10% of loans to100% without increasing staff or workload.The reports coming out of LoanComplete also madeit easy to satisfy compliance audit demands, clearlydemonstrating a systematic and repeatable reviewprocess. Document tracking ensured that loans did notmove forward in the process until all critical documentshad been received.
LoanCompleteEven more exciting to bank executives was the fact thatwith LoanComplete installed, managers were able toidentify some other upstream issues that were impedingefficiency. When the same issues cropped up multipletimes, a change to the upstream workflow solved theproblem, increasing efficiency and lowering costs.But beyond that, bank executives stress the valueof the ongoing relationship with Fiserv. From theproblem‑free, collaborative installation process on a tightimplementation timeline, to the ongoing support andresults the bank continues to enjoy with LoanComplete,the Fiserv relationship has only strengthened.In 2020, BMO Harris entered into a sub servicingagreement with Dovenmuehle Mortgage (DMI), whichnow handles the bulk of the loan servicing activitieson BMO’s behalf. Despite this change, BMO opted tocontinue to use LoanComplete to drive their automatedloan quality reviews and help manage its relationshipwith DMI.“There is not a comparable tool that could do everythingthat we were looking for in a single package,” said Pyatt.“The comprehensive nature of what the tool does reallysets LoanComplete apart. It’s been a great partnership.”A Strong RelationshipBMO Harris managers are enthusiastic about choosingLoanComplete. Much of their satisfaction is basedon the capabilities of the system, which the bank’sinternal users say was and is the most completesolution available, executing everything they wantedthe software to do.
Connect With UsFor more information comFiserv is driving innovation in Payments,Processing Services, Risk & Compliance,Customer & Channel Management andInsights & Optimization. Our solutionshelp clients deliver financial services atthe speed of life to enhance the waypeople live and work today.fiserv.comVisit fiserv.com to learn more.Fiserv, Inc.255 Fiserv DriveBrookfield, WI 53045fiserv.com 2022 Fiserv, Inc. or its affiliates. Fiserv is a trademark of Fiserv, Inc., registered orused in the United States and foreign countries, and may or may not be registeredin your country. All trademarks, service marks and trade names referenced in thismaterial are the property of their respective owners. 1225289 02/22
agreement with Dovenmuehle Mortgage (DMI), which now handles the bulk of the loan servicing activities on BMO's behalf. Despite this change, BMO opted to continue to use LoanComplete to drive their automated loan quality reviews and help manage its relationship with DMI. A Strong Relationship BMO Harris managers are enthusiastic about choosing
