With the Mortgage Bankers Association Conference fully underway, Terry Moore, senior managing director with Accenture, answered a few questions on what he thinks the hottest topics for discussion are, along with one thing that should be talked about.
HousingWire: What are some hot topics going on at MBA?
Moore:
1. The impact of TRID is undoubtedly a hot topic. For example, bankers will be discussing how the implementation is going, what kinks they are facing, and whether the technology they are using to manage the TRID rules is sufficient. Another big issue is personnel. Lenders have been staffing up and adding operational support to deal with TRID. The question is whether this is a temporary blip or will the additional staff need to stay on for the foreseeable future?
2. Let’s face it – TRID created lots of headaches for lenders. That challenge has led many lenders to ask “why aren’t we more digital?” The urgency banks feel to become more digital will be another topic of discussion. Frankly, banks are at the back of the bus when it comes to digital. Banks should be looking to retailers like Amazon for inspiration on how to make the customer experience more pleasing. Bankers will be talking about how to create a more digital operating model by, for example, taking paper out of processes and becoming more automated.
3. With home equity loan demand showing no signs of slowing down any time soon, bankers are facing the issue of how to deal with the increased volume. I expect there will be discussions at MBA about new, innovative approaches to address this issue. For example, some lenders are looking at combining all real-estate secured products — purchase mortgage and home equity loans — onto a single loan origination system. This can drive efficiencies, cut costs, reduce compliance risk and improve the customer experience.
HousingWire: How this will MBA be different compared to previous years?
Moore: I expect to see a continuation of the strong momentum that was developed at last year’s conference.
HousingWire: What is one thing that should be discussed but likely won't be talked about?
Moore: Banks need to respond to aggressive digital competitors. These competitors are lenders that have figured out how to become a critical part of consumers’ daily lives by engaging customers digitally. They use social media, for instance, to usurp another bank’s transaction with a consumer. For example, at the moment a consumer is choosing to buy a product from a bank, the digital competitor offers them alternative financing. By being in the right place at the right time, these digital competitors threaten to relegate banks that aren’t digitally savvy to becoming utility players that get left out of the conversation.
HousingWire: Is there anything else you would to add?
Moore: In the months ahead, we expect to see an accelerating need to upgrade technology capabilities and greater emphasis on delighting customers through an improved experience.
If you’d like to join the discussion on the topics above, feel free to add in the comments below.
