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Sales Business Process in Loan Agreements
sales business process in Loan agreements
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FAQs online signature
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What are the phases of a loan process?
In general, the mortgage loan process involves Application Acceptance, Offer for Property, Loan Application, Loan Processing, Underwriting of the Loan, and Release of the Loan Amount, or Closing.
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How does loan processing work?
Once everything is gathered, they review your credit report. A loan processor requests and reviews your credit report to check for late payments, collections and any inaccuracies. Once this is complete, they may ask for letters of explanation from you to understand your credit history.
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What are the four stages of the loan origination process?
Key Four Stages of the Lending Process Application Submission: The Initial Step. ... Application Processing: Attention to Detail. ... Underwriting Stage: Assessing Risk. ... Disbursement: Finalising the Loan Agreement.
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How do loan sales work?
In a secondary loan participation, or loan sale, a bank makes a loan and then sells the cash stream from the loan, without explicit contractual recourse, guarantee, insurance, or other credit enhancement, to a third party.
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What is a loan sale agreement?
A loan sale agreement that can be used by both institutional and private commercial real estate lenders for the sale or purchase of one or more mortgage loans. This Standard Document is not suitable for loan sales involving a secondary market securitization or a repurchasing facility to a warehouse lender.
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What are the steps in loan processing?
The loan origination process can be divided into seven main steps as follows: Pre-qualification process. Pre-qualification is the first step in the loan origination process. ... Documentation. ... Application processing. ... Underwriting process. ... Credit decision. ... Quality check. ... Loan Funding.
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How long does processing a loan take?
If approved, funding generally takes two to five business days. Some online lenders promise same-day or next-day funding. Smaller banks and credit unions may take longer, but most should be able to fund your loan within a week of applying if you opt for direct deposit into a bank account.
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What are the six steps of the loan process?
Here are the six major milestones you'll reach during loan processing and what's happening at each stage of the process: Loan is submitted to processing. ... Loan is submitted to underwriting. ... Loan is conditionally approved. ... Loan is clear to close. ... Closing. ... Loan has been funded.
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are you tired of wasting your time on requirements that nobody wants if so stick around for this tutorial on creating an effective business requirements document hey Doc Squad Dr White here with the business analysis doctor today I'm giving you a detailed tutorial on creating an effective business requirements document but before we get started if you want more business analysis training and tips be sure to subscribe to the page and turn on the notification Bell with that said let's get started now let's talk about what you'll learn first we'll look at what a business requirements document is or BRD we'll look at the primary BRD audience then we'll look at the main components of a BRD we'll look at some BRD best practices and then we'll look at an example of a business requirements document so what does a business requirements document this is a formal document that outlines high-level requirements including business and stakeholder requirements it describes the project rationale the scope of the project as well as the key stakeholders the business requirements document is often referred to as the BRD business requirements documents are used to create stakeholder alignment on the business needs create a shared understanding of the solution scope what needs to be achieved and the required resources it also provides a basis for decision making regarding scope prioritization and resources so who is the brd4 the primary audience for the business requirements document includes the sponsor who's responsible for the overall success of the project and will be the final decision maker regarding the project goals and scope senior Executives and high-level decision makers need to understand the business goals of the project and how they align with the Strategic goals of the overall organization the subject matter experts will provide significant input and insight into identifying the business needs and defining the objectives scope and expected outcomes marketing and sales teams may need to understand the overall scope and direction of the project in order to develop effective messaging and marketing strategies external stakeholders such as vendors and partners may be interested in understanding the broader business objectives and direction of the project in order to allocate the proper resources to support it so the main components of a business requirements document includes business requirements stakeholder requirements the business process overview scope and limitations a glossary an appendix and the approvers and sign off the first section we'll look at is the business requirements business requirements are statements that describe the problem or opportunity the goals the objectives and the expected outcomes unlike stakeholder or solution requirements business requirements are a combination of different types of statements that represent the high-level business needs and the reasons for the project the main components of the business requirements documents section includes the following need statement the need statement comes in the form of a problem statement or an opportunity statement problem statements describe internal or external issues that cause damage to the organization this focuses on current problems such as Revenue loss dissatisfy customers delays and operations and services or non-compliance with regulatory requirements these problems need to be resolved by the project opportunity statements describe the current situation and outlines the potential areas of growth for improvement in a particular area this may include opportunities to increase areas such as Revenue customers markets reputation Etc these opportunities are to be seized by the project next is business goals business goals are statements that describe longer term ongoing and qualitative States or conditions that the business is seeking to achieve and maintain high-level goals are generally broken down into various areas to include the expected results for example improve customer satisfaction increase market share enhance brand recognition or create new capabilities next is business objectives these are quantifiable results expected from achieving the goals these are measured to assess whether or not the goals have been met a common approach to validating objectives is to ensure they meet the smart criteria the first Criterion for the smart objectives is being specific specific objectives describe something that has an observable outcome measurable objectives are trackable to measure the outcome attainable objectives are feasible in relation to the effort and the goals relevant objectives align to the Enterprise's vision mission and goals and time-bound objectives Define a time frame that is consistent with the need the last component for business requirements is Success metrics these are indicators that are measured in order to assess the factors that have the greatest impact on the Project's success business objectives indicate the progress toward meeting the overall business goals while success metrics are the elements that get measured to indicate the progress towards meeting those objectives now let's discuss the main components of the scope and limitations section the first element in this section is solution scope this is the new features and capabilities that comprise the boundaries of the change and the characteristics of the solution the more requirements approved the larger the solution scope it's best practice to indicate the solution components that are in scope as well as out of scope for the project the solution scope May describe changes to functions capabilities technology business rules data or processes next we have the stakeholders these are the people or groups who will be impacted by the project including internal and external stakeholders key roles and responsibilities may be outlined here as well constraints are influencing factors that cannot be changed and create limitations or restrictions on the product or solution raw projects may have both project and solution constraints the BRD will only include solution constraints assumptions are influencing factors that are considered to be true but has not been verified they could also be conditions that are true now but may not be in the future these assumptions are confirmed or disproven prior to making any decisions on which they impact dependencies are the components of the solution that are dependent on the completion of internal or external project factors common dependencies may be the implementation of requirements that are dependent on other requirements decisions to be made resources funding or other constraints outlining dependencies is an easy way to better understand what tasks need to be completed and in what order the next section is the business process overview a business process describes how work is performed within the organization including the steps involved the roles and responsibilities of those involved and the systems and tools used to execute the process by including the business process in the BRD stakeholders can get a better understanding of how the business operates and how the proposed solution will impact existing processes this information is important for defining the scope and designing the solution that meets the needs of the business it's generally best practiced to include a depiction of the current state and the future State the current state is a depiction of the existing state representing how a process within the context of the project is currently performed in the organization this is often represented as an as is process model the future state is a depiction of the desired or Target State representing how process is expected to be performed within the scope of the project after changes have been made this is often represented with a 2B process model the next section to include is the stakeholder requirements stakeholder requirements are statements that describe the needs of the stakeholder or stakeholder group that need to be met in order to fulfill the business requirements please note that solution requirements such as functional and non-functional requirements should not be included in the business requirements document those are reserved for more detailed requirement specifications that come after the vrd has been approved we'll talk more on that later in the lesson a complete list of stakeholder requirements should convey the key features of the solution these statements will be decomposed into solution requirements in Downstream specification documents it's often helpful to group The stakeholder requirements by stakeholder groups it could help to ensure the requirements are organized in a way that ensures that each stakeholder understands which requirements are relevant to them and can avoid confusion it also makes it easier to track progress on individual requirements to ensure that all stakeholders have provided their input now let's look at the supplemental sections of the business requirements document these are additional sections that provide additional context background information or supporting details that are relevant to the business requirements these sections can vary based on the project and organization common supplemental sections that may be included in the BRD include the glossary of terms which provides a common understanding of the terms that are used in the BRD this is especially critical when a term may have different meanings for different stakeholders or if there are acronyms that need to be defined for stakeholders who may not be familiar with them the appendix includes any attachments or links to additional information outside of the actual BRD that is relevant to the project such as diagrams charts or tables and finally the approvers and sign off this section includes the signatures of all stakeholders with decision-making authority to indicate their approval of the business requirements document a signed off BRD ensures that all stakeholders are in agreement with the requirements outlined in the document now let's take a look at some best practices for the business requirements document it's best practice to document business requirements in a separate document prior to including it as part of a larger document that contains all levels of requirements here are some reasons why a BRD is needed before a functional requirement or a software requirement specification document is developed first of all a BRD provides context and scope having sign off on the BRD helps to ensure that the upcoming detail requirements focus on the right goals and objectives and insurance coverage for all necessary features and functionalities it prevents waste having sign off on the BRD also helps prevent wasted time and effort spent on analyzing and documenting detail require environments that don't align with the business objectives are deemed to be out of scope the BRD helps guide decision making by providing a clear understanding of the business requirements and priorities this helps the analyst and development team prioritize features and functionalities based on business value it manages expectations the business requirements document helps manage expectations early by providing a clear understanding of the expected outcomes if business expectations around capabilities are unrealistic the project team can redirect the business to more feasible expectations early on now let's look at an example business requirements document to start you would include the name of the project the version number and date I usually like to include the company logo on the document that I'm creating then we have the revision history here you would include any changes that are made to the document as they are reviewed you can use whatever numbering convention that works best for the organization next is a basic table of contents so the first section is the business requirements section here I've highlighted some key areas of the problem statement which states that the admissions department is currently bombarded with calls and appointments with students and potential students who need information and assistance currently the department has been exceeding application slas by two weeks on average then we move on to our business goals the goal of this project is to improve service and increase efficiency by revising the department's website to enable self-service for all applications and forms related to the admissions department so there are some key objectives that we'll need to achieve one is that we want to reduce Department call volume by 50 percent within one month of implementation as you can see here all of these objectives meet the smart criteria mentioned earlier in the lesson now let's look at the success metrics so one of the metrics is the number of incoming scheduling and financial aid calls per month now let's move on to the scope section here we discuss what's in scope as well as out of scope then we have a table of the key stakeholders our business constraints assumptions and dependencies one of the business constraints is that only forms that do not require a wet signature can be submitted online an assumption will be that the website is available 24 7 outside of scheduled maintenance and one of the dependencies could be that the students will need to create online accounts to submit the forms the next section is the business process overview as you can see it includes the process map for both the as is and the 2B feature state for details on creating a process map using bpmn see the link in the description the next section is the stakeholder requirements the general format for stakeholder requirements is to include an after an action and object and a qualifier if appropriate so the first stakeholder requirement here states that students must be able to identify all functional areas within the admissions Department from the home page again I'm not decomposing these into functional requirements because those are reserved for more details documents like a functional requirements document or a software specification document also in this example we can assume that this is a waterfall project but if your organization is using agile or a hybrid model this section could also be a list of high-level user stories instead next is our glossary of terms as you can see I've defined SLA which is a service level agreement to respond within 48 hours this term was used in our problem statement now we have the appendix where I included links to some relevant documents such as the business case and the full versions of the process maps that were included in the BRD and finally we have our approval and sign off section where we get our approvals and signatures from the key decision makers once we get the sign off we have the green light for this to serve as an input for our detailed requirements document well there you have it folks that's what you need to create an effective business requirements document if you learned something new tell me about it below and I'd love to hear your feedback also be sure to check out all the business analysis and ba certification training and resources we have for you available at my website thebadoc.com thank you so much for watching have a productive and prosperous day and I'll see you next time bye now
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