The product called the Automated Real-Time Digital Mortgage Application and Decisioning Engine was patented in Australia last month
Consumer demand for digital services has generated significant investment in a new type of patented technology designed to dramatically cut the time it takes for lenders to process a mortgage application.
The patent owned by Sydney-based Nano Digital Home Loans, was backed with A$33 million (US$24.07 million) series-A investment by New Zealand private investor Bolton Equities, while the Sydney-based company was run by New Zealand chief executive and co-founder Andrew Walker.
The product called the Automated Real-Time Digital Mortgage Application and Decisioning Engine was patented in Australia last month.
Many are claiming to be digital, but a website application sitting on top of yesterday’s broken processes is not the future, Walker said.
The key to Nano’s technology was open banking and a process called screen scraping, which gave it access to customer banking information held by other financial institutions.
We get one time access through a portal to the applicant’s online banking details, Walker said.
That data was then processed in real time, giving Nano a quick snapshot of a customer’s finances, income and expenses, in order to form a credit profile and write a home mortgage in about 15 minutes.
Our patented technology platform and proprietary algorithms replace weeks of manual effort, rework and frustration with a fast, seamless, paper-free process, he said.
Nano had already written A$100 million (US$72.93 million) in unconditionally approved loans in the first month since the public launch of business in Australia.
This speaks volumes of the market appetite for our disruptive technology, Walker said.
He said: We’re enabling Australian homeowners to break free from outdated traditional systems and experience a new way of securing and managing their mortgage.