Introduction: Loan processing is a critical task in the banking and financial services sector that requires significant attention to detail and adherence to regulatory requirements. However, the process is often time-consuming and resource-intensive, which can result in delays and errors. To overcome these challenges, client(A financial institutions) sought help in automating the loan processing part that can streamline the loan processing workflow and improve operational efficiency. In this blog post, we will explore how a bot can help to automate loan processing and simplify the process.
Automating Loan Processing with a Bot: >The loan processing workflow can be divided into several stages, including data collection, validation, analysis, and reporting. Each stage involves a series of tasks that require manual intervention and can be time-consuming. By using a bot, many of these tasks can be automated, freeing up valuable time for loan officers and other staff members to focus on more strategic activities.
The bot is programmed to perform the following tasks in sequence:
- Download reports from Outlook and perform Excel • reconciliation
- Launch the home loan website and perform 43 different types of business validation using 12 master files from different databases and goes through 6 different application
- Enter data into the loan processing system
- Send a mail to the respective relationship manager containing the customer's loan status report
Benefits of Automating Loan Processing: >By automating loan processing, financial institutions can benefit in several ways. Firstly, the process becomes faster and more efficient, reducing the time required to process loans and enabling loan officers to handle a greater volume of applications. Secondly, automation reduces the risk of errors and ensures that all regulatory requirements are met, improving the quality of loan processing. Finally, automation allows for better tracking and monitoring of the loan processing workflow, enabling institutions to identify bottlenecks and optimize the process.
Conclusion: >In conclusion, automating loan processing with a bot is a powerful way for financial institutions to streamline their operations and improve the efficiency of the loan processing workflow. By using a bot to automate routine tasks, loan officers and other staff members can focus on more strategic activities that add value to the institution. As automation technology continues to evolve, we can expect to see even more sophisticated solutions that further enhance the loan processing workflow.
Key stats from
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Automation:
- Tool Used: UIPath (Licensed version)
- Total Number of Bots: 10
- Time taken per transaction: 07-08 minutes
- Time needed for 100 transactions : ~11 Hours
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Manual:
- Time taken per transaction: 40-45 minutes
- Time needed for 100 transactions : ~75 Hours
- Human effort (team of 14 members) : 100 transactions per day