The Rise of No Human-Review Document Processing

Speed. Simplicity. Technology. These are the buzzwords you come across when you consider what more and more borrowers look for when they choose their lender. Labor-intensive and costly processing methods are no longer admissible at a time when scale is not just an ideal; with weaknesses in the economy and a mortgage downturn, scale is one of the most important capabilities businesses can have. To help our digital mortgage customers stay competitive, we continuously bring a high customer-centric and agile-oriented state of constant optimization in our document automation workflows. We do this because we understand that businesses are under constant market pressure to deliver more efficiently and offer better customer experiences than the competition. In this article we share how one of our customers achieved true automation with our cutting-edge solution. In a matter of weeks, not months, our ML-powered solution learned how to think like a human - to predict and correct errors with a 100% confidence score, delivering No-Touch Processing.

It’s midnight in the middle of the week as I sat down to write this post. The linchpin of my current routine is to write in the wee hours, when the world is asleep and there are finally no distractions. As a writer I enjoy the dispensation of putting pen to paper. Not lost on me, however, is the irony of what prompted this very article: the people and professionals inundated with the paper-heavy processes prevalent in the mortgage industry. Few experiences exist that the average person goes through that are as paper-reliant as mortgage origination.

This isn’t to say that the mortgage industry hasn’t been adopting technologies to streamline their processes, to speed-up application times, lower costs for the lender, and improve the overall customer experience. Despite the strides, challenges remain. We observe that many banks and Independent Mortgage Bankers continue to engage in labor-intensive, error-prone manual servicing. In our experience, true automation adopters are those that have been able to transform entire teams from cost centers to value drivers, demonstrating lowered costs and fulfillment times. This case study will demonstrate how one of our No-Touch Processing customers was able to achieve 60% reduction in per-loan costs. More crucially, when demand swings, our customers have been able to take appropriate action because they possess the ability to scale their operations incredibly quickly - uncertain times call for more agility.

AI ≠ true automation (until now)

No-Touch Processing is a game-changer for businesses looking to streamline their document processing workflows. With a 100% confidence score, there is no need for human review, saving both time and money. Imagine being able to process high volumes of documents with complete accuracy and efficiency, all without any manual intervention. This is the future of document processing, and it's available now with No-Touch Processing. 

So what does the playbook of a mortgage trailblazer look like? Keep reading.

The IDC estimates that by 2025, 80% of global data will be unstructured. It’s hard to imagine the opportunity loss if most of this dark data is never analyzed.

If you work in the mortgage industry, here's what unstructured data could mean for you

A mortgage application might contain structured data like the borrower's name, address, and income, which can be easily extracted and analyzed. However, the application might also include handwritten notes, scanned copies of documents, and free-form text fields where the borrower has written a narrative about their financial situation. For OCR and other template-based document processing solutions, this unstructured data can be challenging to extract and analyze. This becomes more pervasive as document complexity increases when you move from tax returns and insurance policies to deeds, legal contracts, power of attorney agreements, and more.

OCR, RPA, and template-based solutions are not enough

Businesses that have been using legacy technologies to automate their operations are missing out on the benefits of automation and above-human accuracy. Why? Simply because these technologies are limited in scope by their ability to process unstructured data from diverse, oft-changing, complex documents. We’ll look at one company - a scaled leader in the US mortgage industry - that has successfully implemented Infrrd’s No-Touch Processing solution that offers the industry’s first no-human-review-needed guarantee.  

Results of Infrrd's No-Touch Document Processing Solution

Decode the game-changing implications of No-Touch Processing for your business.

Let's break it down. Assuming a conservative estimate of $15 per hour for a data entry operator's hourly rate, and a liberal assumption that the employee can process 30 documents every hour. Along with the parameters of a 40-hour workweek and assuming that a business processes a million documents every year, here's how the math would break down.

Labor cost per document = Labor cost per hour / Documents processed per hour
Labor cost per document = $15 / 30 = $0.50

Total labor cost per year = Labor cost per document x Documents processed per year
Total labor cost per year = $0.50 x 1,000,000 = $500,000

Total labor cost per year with 40% No-Touch Processing rate = Labor cost per document x 60% documents now being manually processed

Total labor cost per year with 40% NTP rate = $0.50 x 600,000 = $300,000

Costs savings with 40% No-Touch Processing rate = $200,000

• The time and resources previously used for manual processing can be reallocated to other important business processes.
  
  
• As businesses grow and process more documents, our solution can scale up to handle the increased workload. This means a business can continue to process documents with a high level of accuracy and efficiency without needing to hire more staff.
  
  
• The benefits for our customers are clear - reduced costs, improved efficiency, and true automation ROI. By leveraging advanced AI and ML capabilities, our solution can extract relevant data from documents with incredible accuracy, making it an essential tool for mortgage companies and other industries where accuracy is mission critical. With no-touch processing, our customers can achieve greater scalability and make informed decisions based on accurate, consistent data.

In 100% accuracy we trust

The biggest challenge in offering no-touch mortgage approvals is that although many companies offer data extraction technology, they lack the confidence to say their data can be 100% trusted and needs no human intervention. Their extraction accuracy is based on probability. Our state-of-the-art algorithms can guarantee accuracy, and with enough training data, low-touch and no-touch mortgages become an absolute reality.

Our patented Confidence Score Algorithm can accurately predict if the extracted data from the document is right or wrong and it’s so remarkably accurate in that prediction that it can inform the IDP user when no human needs to review the extracted data because it's 100% right. This level of accuracy is achieved not just for structured forms but complex documents that have data structures like nested tables, checkboxes, stamps, handwritten notes, and much more.

The future is bright: no-human-review document processing is now possible

By tapping into sophisticated AI and machine learning technology, we can extract data from diverse documents with complete accuracy, eliminating the need for manual validation and reducing errors. Infrrd is at the forefront of delivering 100% accuracy, helping shape the future of intelligent document processing. 

Allow us to issue a correction: Uncertain times don’t just call for adaptation, but for bold shifts. Here’s where to begin. We’ve got a handy guide on how to get started with No-Touch Document Processing. We hope this has been helpful in understanding what no-touch processing is all about and why it’s a force multiplier for today’s businesses! 

Ready to revolutionize your document processing? Contact us for a guided demo of our No-Touch Document Processing solution.