Half of all mortgage lenders are using third party IT suppliers to develop and run technology solutions, according to research from Marlborough Stirling.
Marlborough Stirling says the findings highlight the growing trend for lenders to "buy in" rather than build technology, with the majority of mortgage lenders who stated they use third party technology providers having done so within the past five years.
Of those mortgage lenders currently relying on home grown IT systems, 40% plan to review their point of sale systems provision within the next 12 months. Marlborough Stirling says this may result in an upturn in new business opportunities for specialist third party providers.
A further 20% of those lenders intend reviewing their mortgage servicing systems and 10% intend reviewing their application processing systems within the next year.
Phil Heaton-Jones, head of marketing at Marlborough Stirling, says the results demonstrate that mortgage lenders are increasingly looking for third party specialists to manage and provide their technology platforms and deliver real benefits to their businesses.
Heaton-Jones adds: “Given that the mortgage market is increasingly competitive with lenders being forced to provide keenly priced products to win and retain market share, the cost advantages and efficiencies delivered by effective technology platforms are critical to success.”
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‘Most significant’ upgrade since launch
Changes happening over coming months
Had accepted British Steel business
Aimed at HNW clients and family groups
Set for 1 April 2019