Bank of America introduced preapproval capabilities to its digital mortgage application.
What’s going on: Preapproval gives a homebuyer the buying power of cash when negotiating the purchase of a home. It also helps in budgeting for a new home.
“Preapproval sets buyers apart in a competitive market,” said Kathy Cummings, svp of homeownership solutions at Bank of America. “It means that a lender has actually examined your credit and other expenses to help you determine how much mortgage you can afford.”
BoA’s digital lending: Bank of America launched its Digital Mortgage Experience in April 2018. It’s a hybrid experience, providing clients and non-clients of the bank the option of completing a digital mortgage application or to be connected to a professional for help when they want.
The mortgage app is integrated into Bank of America’s banking platform, so clients of the bank can prefill information on their application, saving them time.
The Digital Mortgage Experience joins BoA’s other digital lending offerings, including auto and small business loans.
Digital mortgages are happening: More banks and technology startups are introducing and expanding their digital mortgage capabilities. 34 percent of individuals first initiate contact with a home lender online.