Document classification and data extraction presents a challenge to mortgage lenders looking to achieve consistent quality and streamline their manufacturing processes. That has prompted a concerning trend: Tech vendors charging exorbitant fees for these services. Let’s explore the need for change and discuss potential solutions to end this perceived extortion.
At What Cost?
Document classification and data extraction are critical enabling components of underwriting. However, many technology vendors exploit this necessity by charging inflated prices for the services, which are typically a man + machine solution. This strains the budgets of mortgage lenders and creates a barrier for smaller shops trying to compete in an already challenging market. It’s time to question whether the costs associated with these services are justifiable, or whether they border on extortion.
Leveling the Playing Field
The pricing practices of technology vendors disproportionately favor larger mortgage lenders with deeper pockets. Smaller lenders, Credit Unions, IMBs, and TPOs, who often lack the financial resources to bear the burden of hefty fees, find themselves at a disadvantage. This imbalance stifles competition, limits innovation, and hinders the industry’s overall progress. Plus, it’s bad for borrowers. By addressing the pricing disparity, we can level the playing field, fostering a more inclusive and dynamic mortgage lending landscape.
It’s time to challenge the status quo and place value where it belongs: The destination, not the journey.
Think back to the days of the Gold Rush. While a shovel was required to mine the gold, it was the gold that was valuable. Document classification and data extraction are the shovel. Superior credit and other risk analysis is the gold.
Rapidio: Ending the Extortion
Rapidio doesn’t charge for document classification and data extraction. Read that again: Rapidio doesn’t charge for document classification and data extraction. It’s free.
Recently launched Rapidio includes document classification and data extraction in its offerings. The company is bringing a component tech stack to market.
The first component is Income Calculation & eligibility assessment for FHA, VA & GSE. Rapidio’s FlexStack Components will soon include tools that help processors and underwriters across the entire underwrite, income, assets & liabilities, credit, title, property & closing.
But wait, there’s more.
Not only is document classification and data extraction free of charge, there are no minimums. You can use the components on demand as needed.
Finally, a tech vendor that’s building with the customer in mind.