Mortgage Loan Suspense Processing

A Mortgage Loan Servicing Company is responsible for managing their borrower’s suspense accounts.

The suspense account is a catch-all account in which the borrower’s money is stored until the loan servicing firm decides where to allocate the funds.

The money in the suspense account can be moved to pay any or all of the following charges: property tax, homeowners’ insurance, late fees, escrow, or elsewhere.

The loan servicing company has a team in their administrative department dedicated to looking through loans daily and moving money from the suspense account to make loan payments to the appropriate area on behalf of their clients.

The team is responsible for completion of 160 loans each day per team member, which takes up 4 hours of every workday. This manual process was extremely tedious and repetitive which was one of the many reasons this process was selected for Process Automation.

1. Bot Searches for Cases: The Bot logs into the MSP system and creates a list of loans that need processing that day to meet various payment due dates
2. Bot Retrieves Preliminary Data: The bot looks through the list of loans and pulls out all the loans that are labeled delinquent
3. Bot Assigns Lists of Cases to Agents: Bot moves money from the loan holder’s suspense account to pay the delinquent loan, changing its status to current or non-delinquent
4. Bot Gathers Customer Information for Each Alert: After making sure the loan is no longer delinquent, if there is money left in the suspense account the bot will try to make loan payments for up to two months in advance
5. Check-Point for Cognitive Input: If the loan is paid up to two months in advance and there is more money left in suspense, the bot uses it to pay other items such as Late Fees, NSF Fees, Escrow Advances, and anything else that can be paid on the loan holder’s behalf
6. Bot Summarizes Information: After everything outstanding is paid on the loan, any balance remaining in the suspense account is moved to curtailment
7. KYC Team Notification: Once the bot completes this process for every loan on the list, an excel report with current loan status and what payments were made for each loan is sent to the Loan Administration Department Supervisor via email

This Automation doubles the amount of time four full-time employees have each week to work on other tasks and eliminates all errors in the suspense process, making for happier customers as all their payments and extra fees are paid on time and accurately by their loan servicer.