The Challenge
Operational Strain Amid Growing Volumes
The client is a privately held, state-chartered bank regulated by the FDIC, operating across Institutional Banking, Commercial Banking, and Mortgage Banking divisions. With a comprehensive loan portfolio of $9.6 billion and total assets of $15.25 billion, the bank ranks among the top financial institutions in the U.S.
The client faced multiple challenges driven by rising loan volumes and evolving market demands. Inefficiencies in underwriting processes, including pre-funding reviews and loan delivery, led to significant delays and impacted quality. During the pandemic, surges in Third-Party Origination (TPO) approvals, Verbal Verification of Employment (VVOE), and warehouse lending quality control (QC) overwhelmed the client’s operational capacity. Additionally, compliance reviews to meet Mortgage Electronic Registration System (MERS) deadlines posed challenges, resulting in delays and quality concerns. High call volumes and borrower inquiries further strained servicing operations, leading to longer response times and reduced customer satisfaction.
The Outcome
A Comprehensive, Dual-Shore Model for a Streamlined Underwriting Process
Sutherland implemented a dual-shore model to address the client’s challenges in underwriting, TPO, warehouse lending QC, and servicing. For origination, onshore and offshore Junior Underwriters streamlined document collection and review processes, reducing costs and improving productivity. Training materials and knowledge capsules accelerated onboarding and enhanced turnaround times for pre-funding reviews, loan delivery, and VVOE processes.
In TPO, Sutherland’s team managed approvals and renewals efficiently, handling financial document reviews and certifications within a month. Streamlined processes for warehouse lending QC eliminated redundancies and reduced errors, allowing the team to focus on complex tasks. For servicing, Sutherland established a multi-channel support framework, leveraging cross-training and detailed process documentation to enhance quality and manage high volumes effectively.
Sutherland’s solutions delivered remarkable results for the client. Streamlined operations across all lines of business drove substantial cost efficiencies, achieving a 30% reduction in costs. The underwriting cycle times improved dramatically, reducing from 60 days to 45 days, with touch rates decreasing from 3.4 to 2.4. Enhanced quality and reliability of processes resulted in a 90% reduction in errors, significantly boosting operational accuracy. Consistent performance across all business lines solidified Sutherland’s position as the client’s preferred partner, showcasing the effectiveness of the tailored dual-shore model.
That’s Digital Performance Unlocked and Measurable Outcomes Delivered!
By aligning expertise with operational priorities, Sutherland delivered a scalable, efficient, and customer-focused model that sets a benchmark for excellence in the financial services sector.
“Your dedication and contribution to the projects are phenomenal. I appreciate the entire team’s efforts in reducing discrepancies and errors, bringing them under control.”
– Pam, Client Representative
Cost Savings
Error Reduction
Transform your Underwriting Process with Sutherland’s Digital Solutions
Services
Underwriting
Industry
Banking and Financial Services
