AMP aims for faster turnaround times with new technology
AMP Bank reported that it is investing in technology to speed up the home loan approval process, starting with digital signatures.
The non-major bank has launched digital signatures (eSign) for loan applications and, from March 21, will provide full credit reporting functionality.
AMP Bank said it is investing in technology to simplify and speed up the mortgage approval process for brokers and their clients.
The eSign functionality will allow clients to sign their application form and borrower interview guide online, in addition to the electronic signature functionality already available for loan documents.
In addition to removing the need to print and physically sign documents, this will also remove manual verification by AMP Bank.
The service is powered by software providers NextGen and First Mortgage Services.
Meanwhile, the comprehensive “Access Seeker” credit reporting service provided by Equifax and NextGen, will provide initial visibility into customer liabilities without impacting the customer’s credit file.
The bank’s application portal is supposed to report missing information from an application.
AMP Bank had made adjustments to its automated credit decision engine, which reportedly resulted in a 75% improvement in the automated decision rate.
Sean O’Malley, Group Director of AMP Bank, said the new functionality is important to “simplify and improve the lending experience for brokers and advisers”.
“The technology reflects AMP’s ongoing strategic investments to improve AMP Bank’s systems, and its commitment to further reduce loan approval times and increase home loan origination capacity, which increased by 70% last year,” he said.
“Our goal this year is to further digitize and automate lending processes, which will continue to make it easier for brokers, advisors and clients to do business with us.”
AMP chief executive Alexis George has previously focused on brokers as the bank has become a larger part of the group, following spin-offs from its asset management and insurance businesses. life.
As such, the bank contributed 32.5% of the group’s net profit after tax ($111 million out of a total of $341 million) in 2021. Once-dominant AMP Capital was nearly on par, generating 38% of group profits.
The bank recorded a 5% increase in home loans during the year 2021, to an ending book balance of $21.7 billion. The vast majority (90%) of residential mortgages were underwritten through brokers (compared to 84% in 2020).
However, Ms George also said the group’s growth plans include establishing a direct-to-consumer digital proposition and partnering with fintechs.
AMP Bank planned to launch digital mortgages this year.
“Despite the increase in loans originated by brokers, the bank has the ambition to develop its direct channel in order to maintain its competitive cost/revenue ratio,” states the 2021 AMP Investor Report.
The bank also recruited Melissa Christy as its new head of loan operations and customer support in February, after leading the home loan business at neo-lender 86,400.
[Related: Salestrekker partners with digital signature start-up]