Modernizing non-QM underwriting with our enhanced bank statement income calculator
Borrower profiles are growing more complex. To keep up, mortgage lenders need an easier, more efficient way to calculate income, gain deeper financial insights and, ultimately, make smarter lending decisions.
Ocrolus recently introduced several key updates to our Bank Statement Income Calculator (BSIC), a powerful tool that provides in-depth financial analysis derived from a borrower’s bank statements. The updates are designed to enhance data transparency, improve usability and optimize reporting processes for lenders underwriting non-QM loans.
With these enhancements, lenders can analyze borrower income, streamline decision-making and gain valuable insights without the need for tedious, manual calculations.
Simplifying complex mortgage income calculations
The latest update to the BSIC includes several new features that enable lenders to create a seamless underwriting process. One of the biggest additions is the new Book Summary tab.
The Book Summary tab offers a comprehensive and structured overview of key loan details and income data across all uploaded bank accounts. By aggregating financial information in a clear and intuitive format, lenders can more easily analyze, verify and report on income calculations. And, with its Print to PDF functionality, it also simplifies reporting for underwriters.
In addition to this summary, we’ve added five key features to help lenders identify missing information and flag income trends within applicants’ bank statements:
- Declining income indicator: flags borrowers with decreasing income trends over time, relieving underwriters of the need to manually scan through months of statements to detect inconsistencies and helping improve efficiency and accuracy in decision-making.
- Missing statement identifier: quickly detects gaps and highlights months where a bank statement is not available, preventing oversights and ensuring that underwriters have a complete picture of an applicant’s income history.
- NSF days count by month: adds a monthly breakdown for better visibility into account activity.
- Large deposit flags: helps underwriters easily spot large deposits at a monthly level for more precise income evaluation.
- Top 10 recurring depositors table: shows a ranked list of top income sources for improved borrower profiling.
Addressing common non-QM lending pain points
Ocrolus’ BSIC is designed for mortgage lenders – specifically underwriters – working with non-QM loans. Our latest updates to the tool are based on direct feedback from our partners who are working in this space and encountering pain points in real time.
These conversations with our partners revolved around three key trends: the need for more transparency into borrowers’ financial documents, the need to reduce manual effort and improve workflow efficiency and the ongoing quest for better financial decision-making.
A primary focus of BSIC enhancements is to deliver crucial insights to underwriters in an efficient, accessible way. Beyond providing underwriters with deeper insights into borrowers’ creditworthiness, these insights can now be shared across the organization and with investors more conveniently.
See how top lenders optimize non-QM workflows: How to build a trusted mortgage workflow
Further enhancements to the BSIC hone the tool’s ability to accurately calculate borrowers’ income by maintaining a standardized view of a borrower’s transactions.
With the ability to more accurately calculate borrowers’ income – and an automated workflow that does much of the heavy data verification lifting – underwriters can spend more time focusing on client relationships and crucial financial decisions.
New features in the BSIC build on the tool’s existing capabilities and complete list of deposits, ensuring lenders have the flexibility they need for various underwriting scenarios. You can learn more about these enhancements in our recent Product Pulse session.
Book a demo today to learn how to modernize your non-QM underwriting workflows with Ocrolus’ Bank Statement Income Calculator.
Key takeaways
- Ocrolus recently introduced several key updates to our Bank Statement Income Calculator, designed to enhance data transparency, usability and reporting for lenders underwriting non-QM loans.
- The latest update to the BSIC includes several new features that enable a seamless underwriting process, including a Book Summary tab, a declining income indicator, a missing statement identifier and more.
- These enhancements are based on direct feedback we’ve heard from our partners in the non-QM loan space. Ultimately, they’re intended to help underwriters spend more time focusing on client relationships and making more informed financial decisions.
