How to deal with Luddite mortgage borrowers
Written by Floify’s Dave Sims for Inman.com. Reposted here with permission.
I’ve heard many stories about technology-averse mortgage borrowers. Below, I’ve listed common objections to using technology during the mortgage process from borrowers, followed by answers to help borrowers overcome their objections.
Although these are aimed at a mortgage scenario, they could be applied to several situations where a client is hesitant to use technology.
Objection: I don’t have the technology, or I’m not tech-savvy.
Response: If you can use Facebook, browse the Web, use a smartphone or do email, you’re good to go.
Modern mortgage technology stays within the bounds of the Web, email, texting and smartphone apps.
Objection: Why can’t I just send what you need from me the old way, the way I prefer?
Response: You can. It’s just that we can serve you faster and provide quicker, more detailed feedback on your mortgage process if you use our technology.
What we’re saying here, dear borrower, is that if you want to do things old-school, that’s fine. But if you want to:
- Be better informed throughout the mortgage process
- Get to closing with less stress
- Improve your chances of actually getting to closing on time, without any holdups
… then the technology we’re offering provides you with these benefits.
Objection: But I just want to use email.
Response: First, would you email me your credit card? No, of course not. Consequently, you don’t want to email me all the intimate details of your financial life. Email is not secure.
Second, this goes back to the previous response: “We can serve you faster and provide quicker feedback if you use our technology.” Email is great for simple notifications. But for detailed conversations that require detailed documentation, email is about the worst tool you can use.
A mortgage loan originator misconception
Some misconceptions mortgage loan originators have about the use of technology don’t ring true when it comes to the origination process. Here’s one in particular:
Originator misconception: I want to give my borrowers personalized service. New technology prevents me from providing a personal touch to my clients.
Response: I agree that the personal touch is essential to letting clients know you care about them and that you will do everything possible to pave the way for a smooth transaction.
But when you’re requesting that 25th piece of documentation, you don’t need to do that with a personal phone call. At that point in the process, your borrower will appreciate your efficient use of technology instead of receiving yet another personal email from you.
Arm yourself with knowledge
Take this knowledge and have it at the ready when a Luddite mortgage borrower walks into your life. Because when they literally give you a shoebox, email dump, USB thumb drive or Dropbox link leading to a mishmash of obtuse documentation, you will want some convincing arguments to present to them about using technology and keeping transactions organized.
Dave Sims is founder and CEO of Floify.com, a mortgage borrower portal. Sims is also a licensed mortgage loan originator, NMLS 1235071.