Discover Home Loans has been named as the Celent Model Bank 2020 award winner in the Mortgage Lending category and is being recognized for innovating like a fintech. Celent is a global research and advisory firm for the financial services industry. Their awards honor financial institutions for excellence in using technology to enhance the customer experience.
“Discover Home Loans won the award by building a digital mortgage experience and simplifying and automating related processes. Customers can quickly and easily apply online, get evaluated for credit and available equity and receive accurate and personalized loan options,” said PK Parekh, senior vice president of Discover Home Loans. “Over 80% of applications start online and over 90% of borrowers use the website between application and funding to view disclosures, upload documents, and check their loan status.”
Celent also recognized Discover’s eClosing capabilities which allows consumers in certain states to electronically sign many closing documents prior to the physical closing. In light of the current pandemic and social distancing guidelines, the digital eClosing process for closing agents, lenders and mortgage customers is an added benefit as it reduces the amount of time the agent and customer must spend together at the closing. This program also led to a 46% reduction in notary errors, an 80% reduction in turn time from closing to recording and higher operational productivity due to the reduction in required support for each closing. Discover currently offers eClosing in certain states covering 50% of its customers and plans to make it available nationwide by the end of May.
The eClosing process has garnered over 90% adoption among eligible consumers. These consumers have responded positively saying, “An efficient and hassle free closing process without fees. What more can a client ask for?”
“This Discover Home Loans initiative shows that established financial institutions can build an innovative end-to-end digital mortgage origination platform as well or better than fintech startup companies,” said Craig Focardi, Senior Analyst at Celent.
Discover Home Loans offers home equity loans and mortgage refinance from $35,000 to $200,000 with low, fixed rates and zero origination fees. For more information on Discover Home Loans, visit DiscoverHomeLoans.com.
Discover Financial Services (NYSE: DFS) is a digital banking and payment services company with one of the most recognized brands in U.S. financial services. Since its inception in 1986, the company has become one of the largest issuers of credit cards, online deposit products, and consumer loans in the United States. The company issues the Discover card—America’s cash rewards pioneer—and offers private student loans, personal loans, home loans, checking and savings accounts and certificates of deposit through its banking business. It operates the Discover Global Network comprised of Discover Network, with millions of merchant and cash access locations; PULSE, one of the nation’s leading ATM/debit networks; and Diners Club International, a global payments network with acceptance around the world. For more information, visit Discover.com/company.