HSBC is automating its remortgage cases using the LMS Decisioning and Automated Remortgage Technology (DART), which it said will result in a quicker and smoother process for customers who might otherwise face paying more.
Oli O’Donoghue MBE, the bank’s head of mortgages, said many remortgages still rely on manual processes, which can cause delays and uncertainty.
In some cases, this can result in borrowers moving onto a lender’s variable rate and facing higher repayments, she added.
O’Donoghue continued: “Across the mortgage industry, we are seeing a determined effort to speed up processes for borrowers, whether they’re a first-time buyer, moving home, or simply remortgaging. HSBC UK is committed to playing its part, whether that be adopting new technologies like DART, digitising simple processes, or removing duplication.”
The technology will initially be used for less complex cases, HSBC said, enabling conveyancers to spend more time on complicated cases.
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The technology behind DART assesses each remortgage case and routes it either through a fully automated journey or via a partially automated journey, with the aim to help reduce manual intervention.
HSBC’s use of the technology follows a major update last year that LMS said would improve transparency in the remortgage process and the upfront information available at the start of a transaction.
Suzanne O’Connor, chief relationship officer at LMS, said: “Having worked with HSBC UK for many years, it is great to be welcoming them as the first live lender to utilise case automation through DART.
“Remortgage cases can be time-consuming and labour-intensive, which often creates uncertainty for everyone involved. DART was designed to change that – by minimising manual intervention and giving customers clarity from the very start of the journey.”