IT-ONLINE – Simplifying loans applications with digital signature workflow

Posted by IT-Online on Sep 30, 2015

loan applicationFor financial institutions, loans are an essential part of their business, writes Avi Rose, regional sales manager for Africa at DocuSign and Leon van der Merwe, business development manager at Pitney Bowes.

From home loans to vehicle finance, personal loans to credit applications and everything in between, many applications for these services must be processed on a daily basis. The challenge is that at some point in any loan or credit application, one or more physical signatures are required. This has typically meant moving out of electronic channels into manual, paper-based processes. It not only breaks the digital workflow, it is also exceptionally time consuming and paper-intensive, not to mention costly.

In addition, the manual signatory process often negatively impacts the customer experience by requiring the signing parties to be physically present at the financial institution’s branch,  a major inconvenience for customers. However, this issue is one that can be dealt with very easily by adding a digital signature solution to the process. These solutions are fully compliant with all relevant legislation, such as the ECT Act, and eliminate the need to print documents and collect ink-based signatures. This improves the customer experience, reduces the time taken to process loans and cuts costs amongst other benefits.

Traditional ‘wet ink’ signatures introduce inefficiencies into automated and digital workflows, wasting time and money and increasing a company’s carbon footprint. Ensuring that the entire workflow can be completed electronically solves these challenges and improves the firm’s competitive edge, as the ability to more easily and quickly complete applications is not only of significant benefit to customers but also to the financial institution itself.

Up until recently there has been no solution to the challenge of digitising legacy wet-ink signature processes. However, the Electronic Communications and Transmissions (ECT) Act makes allowances for the legal digital signing of documents. Specifically, advanced electronic signatures are now legally valid on documents such as credit agreements, which require a high level of assurance of user authentication. Advanced electronic signature solutions offer certificate-based digital signatures that are legally enforceable because they protect the integrity of the document and the authenticity of the signer.

This in turn ensures that the entire applications workflow can be digitised, which offers numerous advantages. The most obvious saving that can be realised here comes through reductions in the use of paper and ink, as well as in printer and courier costs. In addition, employee effort can be significantly reduced – there is no longer any need to print documents, get them signed, and then scan them back in to put them back into the various digital workflow channels.

The most significant benefit, however, is the significant time saving advantage. With current manual signature processes, it takes days, sometimes weeks, to add all the information and signatures to the required documentation, not to mention the need to send documents back and forth via fax or post. With an advanced electronic signature solution, this time frame can be reduced to a matter of minutes, as these solutions can be integrated into an automated digital platform that efficiently manages document workflow.

For example, a portal can be created where all relevant parties access a single entry point and digitally sign the document with a compliant electronic signature. After authenticating themselves, the required signatories can access this portal from wherever they are in the world, without having to be physically present in a bank or branch office, removing bottlenecks and delays, and improving the efficiency of the entire process. This also ensures that issues with having multiple document versions are eliminated, optimising storage and archiving while also providing a complete audit trail and improving process transparency.

For customers this is a game-changing solution, as one of the biggest hassles and frustrations with financial applications is the time-consuming and inconvenient nature of the process. Using digital signature workflows, financial institutions can gain a significant edge over the competition. The benefits are significant and the business case for electronic signatures is strong, as can be seen by the rapid uptake of such solutions across Europe and the US.

In South Africa, legislation supports the use of advanced and ordinary electronic signatures, and we are currently at a turning point where adoption is imminent. Financial institutions of all sizes, from major banks to micro lenders, stand to benefit from architecturally sound, secure and scalable digital signature workflow solutions that can provide a competitive edge and significantly enhance customer service.

Digital onboarding: The Benefits

On-boarding new clients doesn’t have to be an administratively intensive task.

Digital signatures make your workplace more efficientWhile most companies make use of print outs, signed documents, scanning and passing on information manually, there is an easier way, thanks to the revolutionary, digital Intelli-forms from pbVerify. These are only a few of the benefits of pbVerify Intelli-forms:

Digitise the process

What happens to new clients if the client service agent is sick, his or her laptop gets stolen or the paperwork disappears? Manage these risks by digitising the onboarding process with pbVerify Intelli-forms.

Eradicate errors

When a number of people work together in order to make a manual, paper-based workflow run smoothly, there’s a lot of room for error. pbVerify Intelli-forms  will help you eradicate errors and increase process efficiencies by automatically populating forms from limited information entered.

Fully customisable

Every business is unique and only you will know exactly what information you need in order to kick-start the on-boarding process. pbVerify Intelli-forms are fully customisable and everything from database entries to specific Terms and Conditions can be determined by you.

Verify information automatically

When a new client gives you an ID number or business information, this information needs to be checked by your staff. With pbVerify Intelli-forms, all the client has to do is enter their relevant information and pbVerify Intelli-forms will take care of the rest. Information such as the last known address and telephone numbers are obtained and populated automatically and business information is verified with CIPC and auto-populated in the form.

Sound too good to be true? It isn’t. Find out more here

Electronic Signatures

CoSign is the most widely used digital signature solution in the world. Whether you’re in a security-minded industry or you’re simply looking for a way to increase efficiencies, digital signatures can work for you.

What makes CoSign so effective is the fact that it adapts to your existing processes, governance policies and SOPs, instead of forcing you to adopt rigid workflows. The digital signatures are integrated into the document/content management or workflow automation system of your choice, including SharePoint, OpenText, Oracle, Alfresco, Nintex, K2 and many more.

When you transition to digital signatures, you can rest assured that your documents are always kept within your company’s domain without you ever having to save it on a third party server. Minimising business risk and improving efficiencies starts with implementing technology that can truly change the way you do business. Find out more about digital signatures now.

A ground breaking digital signature technology that enables your customers to sign electronically.

CoSignCollabPBA digital signature solution that enables your customers to sign your online documents and forms electronically without them already having a digital signature or any hardware signing device.

 What’s all the excitement about?

Up until now, signing electronically with a digital signature was predominantly only available to licensed subscribers of digital signature applications and not to external customers whom are required to sign digital forms and documents, once-off. This is largely due to the cost associated with digital signatures and “on the fly” digital signatures not being available to a person that is not identified and linked to an established digital signature account.

With the new Cosign Collab service, you enable the customer to once-off sign the form or document electronically with a digital signature using the organisation’s license. The system establishes essential confidence and compliance in the signature with three key areas (the three I’s) when issuing the digital signature.

1. Intent to sign

Intent to sign is established through communication that requires action. Once the signer has opted by action to continue with the process, intent is established and the signing process is activated.

2. Identity of the signer

The Identity of the customer is established through various electronic communication methodologies. Existing account holders’ data can also be used in our identification methodologies. A combination of Email and mobile OTP (One time password) technologies are used to grant access to the document and digital signature.

3. Integrity of the document

After a user electronically signs the document with their issued digital signature, the content of the document is protected. If any changes are made to the signed document, the signature will no longer be valid. The validity of the digital signature and the integrity of the document can be verified by anyone using free Adobe PDF reader, no need for any additional software or licenses.

What does this mean for business?

Lets assume that you are a financial institution that requires a customer to fill out a form to apply for credit. There are generally three major processes that follows. The applicant fills out the form, prints a copy, signs it and scans it back before uploading or Emailing it. The organisation then processes the application and if successful a final agreement is drawn up that the applicant must sign. This is generally Emailed and the process of printing, signing, scanning and Emailing is repeated. In some instances the applicant is even expected to make his way into a branch to sign on paper.

With pbVerify’s CoSign Collab, this entire process is digitised. No paper, printing, signing and scanning of the document and no need for the document to be emailed or uploaded at any stage.

CoSignCollabPB

pbVerify CoSign Collab

Learn more about the CoSign digital signature solution

Please contact Leon van der Merwe on 011 516 9400 for more information or to book a product demo.

Author: Google