Thread regarding JPMorgan Chase & Co. layoffs

Future of mortgage ops at Chase

Here's my opinion and feelings on the future of mortgage ops at Chase. Take them for what they are worth. 90% if not all of underwriting and processing will be done in Manilla within the next few years. This will include home equity and first mortgage. Sales will be in call centers in the US because Philippines can't get NMLS numbers. Sales in the branches nationwide will be eliminated. Processing will be a call center to set up closes, convey counters, initial decisions and chase docs. They won't need as many people as they have now and will certainly want to cut the higher paid processors they currently have.

by
| 1663 views | |
Post ID: @ZG0Ry8I

8 replies (most recent on top)

Manila does pre-underwriting audit, Manila Does post underwriting audit, India does pre-op now (which was hidden from us and lied to us but nothing new, Manila reviews and clears title, Manila clears homeowners insurance, Manila has “associate” underwriting which their names are masked under a mentors name in the US which I presume to be federally compliant, Chase has stuck with MPX even when everyone knows it s---s because anyone with a login can access their role around the world (bingo!!), were not dumb we’ve seen the writing on the wall. Chase is losing money on mortgage because they don’t know how to manage the biz and have ppl asleep at the wheel. Turning to foreign labor WILL backfire I promise. Years ago they tried Manila underwriting and they stopped it but now I don’t think they care if it fails Jamie hates mortgage just read the shareholder letters

by
|
Post ID: @ZG0Ry8I-catx

Unfortunately I’ll be the one to add a dose of reality about this notion that customers want branches etc. quicken loans is now the LARGEST mortgage lender in the country and the have precisely ZERO branches. This is they way of the future, especially now that millennials are the largest cohort of consumers in the US.

For those of you unaware Sears was the first one to have an online shopping website. Way back in the 90s. They thought it would never work. Bad decision.

Chase along with all the other nationals are trying to not become the next sears. Unfortunately they’re trying to replicate models based on different strategies all while Facebook is creating completely new was to “transact” money.

It’s a doomed industry (as it stands now) and this war of attrition will continue for the foreseeable future.

by
|
Post ID: @ZG0Ry8I-3nhl

This will bite them a lot including fraud. They are hiding fraudelant activiry from shareholders

by
|
Post ID: @ZG0Ry8I-2mok

I agree that this would be what Chase Mortgage Management would love to see happen (at least today until they change their mind again). However, you are leaving out a piece of the puzzle. The Chase customer will have to agree to this arrangement. And they will not. Chase is NOT Quicken (despite managements unhealthy obsession to become like them). Chase is a bank with customers who want more than "transactional" mortgage process you get at a Quicken. If a Chase customer wants Quicken, they can use them. They DONT which is why they apply with their bank. Chase is making a huge mistake with this approach if they care about maintaining application volume. But there is the rub. Chase does not like mortgage and views it as a nuisance. Don't believe me? Read anything the Chairman has to say about mortgages. I think they will be fine with doing only as much mortgage as is necessary in order to be federally compliant. In the eyes of Jamie and the guys at the top "less mortgage means less problems and more profit." Chase is really getting out of the mortgage business, but they don't want to say it. They will do only what they have to do in order to stay in good stead with the regulators. It's unfortunate for those that work in mortgage and have stood by this Company through the horrendous MAX/MPX debacle that is finally (sort of) starting to work. But it is understandable from a business standpoint for Chase.

by
|
Post ID: @ZG0Ry8I-2fmd

Pretty much! Some of the UW in correspondent was already being done in Manila and soon they will use a mix of Manila employees an their new systems and technology they are implementing to have as little US workforce involved in mortgages. They want to be a Quickenloans with little labor costs in the US. Jobs at Chase in mortgage will be pretty much non existent in the near future. It has already started

by
|
Post ID: @ZG0Ry8I-1egt

They have to keep 50% of the workforce in the us so 90% is far from reality

by
|
Post ID: @ZG0Ry8I-1vao

They don't review all my loans, but some of them. Sometimes half of my loans for the day. Anyway, someday they'll be doing all of them. Chase losing too much $$$ in the mortgage dept. to continue the way it is.

by
|
Post ID: @ZG0Ry8I-ayr

Yes, I agree. I'm in funding, and Phillipines already reviewing loans before I get them, so my work's already mostly done. First Phililipines will replace us, then they'll be replaced by computers (once they allow DocuSign for closings).

by
|
Post ID: @ZG0Ry8I-bpy

Post a reply

: