recommended-loan-servicing-software-for-enhanced-efficiency-and-customer-satisfaction

recommended-loan-servicing-software-for-enhanced-efficiency-and-customer-satisfaction

Introduction

Loan servicing software is an essential tool for lenders of all sizes. It can help you automate many of the tasks associated with loan servicing, such as managing payments, tracking loan balances, and generating reports. As a result, loan servicing software can help you improve efficiency, reduce costs, and enhance customer satisfaction.

Benefits of Loan Servicing Software

There are many benefits to using loan servicing software, including:

  • Improved efficiency: Loan servicing software can automate many of the tasks associated with loan servicing, such as managing payments, tracking loan balances, and generating reports. This can free up your staff to focus on other tasks, such as growing your business.
  • Reduced costs: Loan servicing software can help you reduce costs by automating tasks and eliminating the need for manual labor. This can save you money on both labor costs and overhead costs.
  • Enhanced customer satisfaction: Loan servicing software can help you improve customer satisfaction by providing borrowers with easy access to their loan information and by making it easier for them to make payments. This can lead to increased customer loyalty and repeat business.

Types of Loan Servicing Software

There are many different types of loan servicing software available, each with its own unique features and benefits. The type of loan servicing software that is right for you will depend on your specific needs and requirements.

Some of the most common types of loan servicing software include:

  • Cloud-based loan servicing software: Cloud-based loan servicing software is hosted on a remote server, which means that you can access it from anywhere with an internet connection. This type of software is typically more affordable than on-premises loan servicing software, and it can be easier to implement and maintain.
  • On-premises loan servicing software: On-premises loan servicing software is installed on your own servers. This type of software is typically more expensive than cloud-based loan servicing software, but it can offer more customization and control.
  • Core loan servicing software: Core loan servicing software is a comprehensive software solution that includes all of the features and functionality that you need to manage your loan portfolio. This type of software is typically more expensive than other types of loan servicing software, but it can provide the most comprehensive solution for your needs.
  • Specialty loan servicing software: Specialty loan servicing software is designed to meet the specific needs of certain types of lenders, such as mortgage lenders or student loan lenders. This type of software typically includes features and functionality that are specific to the type of lending that you do.

How to Choose Loan Servicing Software

Choosing the right loan servicing software is an important decision. Here are a few factors to consider when making your decision:

  • Your needs and requirements: The first step in choosing loan servicing software is to identify your needs and requirements. Consider the size of your loan portfolio, the types of loans that you service, and the features and functionality that you need.
  • Your budget: Loan servicing software can range in price from a few hundred dollars per month to tens of thousands of dollars per year. It is important to set a budget before you start shopping for software.
  • The vendor: The vendor that you choose is just as important as the software itself. Look for a vendor with a good reputation and a strong track record. Make sure that the vendor is able to provide the support and training that you need.

Implementation of Loan Servicing Software

Once you have chosen loan servicing software, you need to implement it. This process can be complex, so it is important to work with a qualified vendor. The implementation process typically involves the following steps:

  • Data conversion: The first step is to convert your existing loan data into the format that is required by the new loan servicing software. This can be a time-consuming process, so it is important to start early.
  • System configuration: Once your data has been converted, you need to configure the loan servicing software to meet your specific needs. This includes setting up user permissions, creating reports, and customizing the software’s interface.
  • Training: Once the software is configured, you need to train your staff on how to use it. This training should cover all of the features and functionality of the software.
  • Go live: Once your staff has been trained, you can go live with the new loan servicing software. This involves switching over to the new software and discontinuing the use of your old software.

Conclusion

Loan servicing software is an essential tool for lenders of all sizes. It can help you improve efficiency, reduce costs, and enhance customer satisfaction. By choosing the right loan servicing software and implementing it properly, you can reap the benefits of this powerful technology.

Call toll-free at (877) 227-7271 or visit Fundingo to learn more and schedule a demo.