This technology integration aims to save brokers thousands of hours each month of the administrative burdens of following up on the timeline of customers' loan settlements.
The pilot run went live on 12 August, enabling approximately 70% of the Lendi Group broker network to track settlement updates for three of the four major banks (excluding NAB), five other notable lenders, and Aussie's white-label products.
Lendi is the parent company of retail brokerage Aussie, which tends to offer white-labelled CommBank products.
According to Lendi Group co-founder and CEO David Hyman, the new platform is expected to eliminate up to 200,000 Client Solutions and broker phone calls to lenders annually.
The loan aggregator's proprietary Client Solutions program currently helps brokers achieve lodgment speeds four times faster than the average 24 hours, per the latest data from the Mortgage and Finance Association of Australia.
The settlement tracker is expected to further enhance these productivity gains.
"Right now, across the industry, brokers can burn a lot of manual hours logging into lender portals and contacting banks for status updates - leaving customers facing weeks of often frustrating uncertainty," Mr Hyman said.
What this means for mortgage applicants
In Australia, the standard settlement period typically lasts 30 to 90 days, depending on the territory or state.
The length of the period, ending on the settlement day, can be negotiated between the home buyer and seller.
Delays in settlement can occur for various reasons, including delays in the bank's release of funds, which can be caused by slow processing times, administrative errors, or missing documents.
With the tracker, brokers can see the progress of their loan lodgments without needing to contact the lenders, who can then pass this onto their clients.
"Alongside Lendi's innovation, we are excited to see greater transparency, ease of access to information, and increased productivity across the property ecosystem," PEXA Australia CEO Les Vance said.
Following the initial launch, PEXA and Lendi will invite feedback from brokers who have opted into the platform, and will report productivity outcomes to the broader industry.
"PEXA is committed to 'innovate for good', and alongside Lendi Group, we look forward to evolving and continuing to improve the process and then expand it to benefit the home loan industry across the nation," Mr Vance said.
Photo by Drazen Zigic on Freepik
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