From applications to correspondence between valuers and solicitors, everything was done on paper and offices were filled with file upon file of documents and piles of letters.
While nostalgia often makes us look back at things with rose tinted glasses, I think we can all agree that in today’s market it would be impossible to operate a successful business without embracing technology.
Thanks to advances in technology over the last decade or so, consumers have come to expect a certain degree of efficiency – something which cannot be achieved by operating a paper-based system. The industry is more competitive than it has ever been and if a competitor can offer greater speed and efficiency you’re sure to lose out.
Of course, it’s not just consumer demand that makes the case for using technology in mortgage broking. The regulator is well aware of the importance of protecting consumer information and recognises that good technology systems are the best way to do this. The Financial Conduct Authority (FCA) has made it clear it expects some form of durable electronic storage of files and plenty of fines have been imposed for issues surrounding customer information in financial services.
Those brokers thinking they’re already tech-savvy because they use spreadsheets backed up on laptops should think again. Ask yourself, in reality, is this a robust enough system?
There are plenty of companies operating in the market today who can provide technology systems that will streamline your work processes, help win more customers and satisfy the regulator. So why aren’t more brokers embracing it?
The answer, I believe, is that like most people, many brokers fear change. It is completely understandable that if you’ve been operating in a certain way for many years you’re going to be reluctant or indeed, fearful, of changing that. However, if you’re not willing to move with the market you run the risk of it moving on without you.
A good technology system can help you to increase sales opportunities, manage your diary and all reminders, including when products are coming to an end and will allow you to key information in once rather than several times into several systems thus saving valuable time.
Letters and reminders are produced automatically and stored for easy retrieval, and compliance becomes easier to manage as all reports and returns can be tailor made to create efficiencies. Plus any FCA visits or audits should be smoother to manage.
What’s more, when the time comes to sell up and retire, your business will be worth more to prospective buyers as the right systems and controls are in place.
The use of technology in the mortgage industry is not going to go away. It’s time to embrace it or risk being left behind.
Phil Whitehouse is managing director, MCI Mortgage Club
