How AI and Automation are Improving Accuracy and Speed in Mortgage Servicing

With the Indian mortgage industry valued at over Rs 25 lakh crore, it is undergoing a technological transformation that is changing how financial institutions work with home loans.

- TBG NETWORK

The real estate market continues to grow and digital adoption is increasing; banks and non-banking financial companies (NBFCs) are utilizing demographic AI (Artificial Intelligence) and automation to improve their mortgage servicing models, providing first-time accuracy and speed to borrowers across India.

The Indian mortgage servicing process has always had some element of manual processes that took time and was error-prone.

Conventional mortgage servicing processes, from programming a loan to processing a payment to providing customer service, were burdened with the conventional manual mortgage servicing process, which took time and caused inconsistency and borrower frustrations.

The changes being implemented by AI-enabled systems are changing how mortgage services are being provided.

Machine learning algorithms can continually analyze borrower information and assess the demographic of the borrower and can actualize lenders' decisions with utmost confidence and in days, not weeks, and in some cases just hours.

Timeouts of the service center are also being minimized by the use of automatic follow-ups, AI voice, chat, and video technology.

One of the greatest advances on the fintech landscape is a bank's ability to approve loans.