About AMOCO Federal Credit Union
Established in 1937, AMOCO Federal Credit Union is based in eastern Texas where it serves local oil refinery employees, school districts, churches and homeowners’ associations in a 477-census tract area with a population of 2.5 million. From humble roots as a small community organization founded more than eighty years ago, AMOCO has grown to serve 110,000 members and hold $1.4 billion in assets. It offers members access to mortgage services both in-branch and remotely, prioritizing a user-friendly and contemporary experience.
Challenge
Though AMOCO has been a local leader in commercial lending for decades, it’s only in the last few years that the credit union has invested heavily in residential mortgage lending. In 2021, to support this growing business line, EVP of Lending Eddie Bonilla began looking for a technology partner capable of elevating the AMOCO mortgage. He wanted a loan origination system (LOS) that would facilitate productivity for the credit union’s hybrid workforce, scale with market-driven fluctuations in mortgage volume, and live up to its members’ high expectations for customer service. And because AMOCO—like many credit unions—retains servicing for most of the loans it originates, Bonilla also sought a system that would integrate seamlessly with the credit union’s mortgage servicing platform.
“We had outgrown the functionality and member experience provided by our first LOS,” said Bonilla. “We needed a system that could help our mortgage line of business grow in a sustainable way. Our goal was to make things as easy as possible and reduce friction in the application process all the way from origination to closing. In other words, we wanted to give our members and loan officers an industry-leading experience.”
Solution
After an exhaustive evaluation of top mortgage LOS providers, Bonilla zeroed in on a trio of solutions from Dark Matter Technologies as the best choice for AMOCO:
The Empower® LOS
The cloud-based Empower LOS provides the functionality to originate both first mortgages and home-equity products. By leveraging the Empower platform’s “lights-out” processing capabilities, AMOCO’s lean residential mortgage team can automate repetitive loan tasks that increase individual productivity, reduce cycle times and improve data integrity.
Borrower Portal
Dark Matter’s consumer-facing point-of-sale (POS) solution makes an intuitive mortgage application available to AMOCO members on any web-enabled device.
Loan Officer Portal
A companion POS solution for originators provides on-the-go access to intuitive dashboards and tools loan officers need to keep applications moving even when working outside of one of AMOCO’s 10 branches. Both Borrower Portal and Loan Officer Portal are pre-configured for connectivity with the Empower LOS.
Bonilla also chose the Empower LOS for its native integration with the MSP® servicing platform from ICE Mortgage Technology, which gives AMOCO the added advantage of seamless loan data transfer between its origination and servicing systems.
“With robust automation, fully integrated solutions and the support of a proactive and highly responsive team, the Empower LOS had everything we needed to grow our mortgage products and services and serve the financial needs of members in any market conditions,” says Bonilla.
A dedicated Dark Matter business consultant worked closely with Bonilla’s team to understand AMOCO’s unique implementation needs and oversee the efficient, on-time deployment of the Empower LOS, Borrower Portal and Loan Officer Portal. Post-implementation, the Dark Matter team has continued to support AMOCO through regular status calls and periodic on-site visits.
“In Dark Matter, we found more than just a technology provider; we found a partnership,” said Bonilla. “The team’s engagement in ensuring AMOCO’s technology performs as expected and helps us achieve our business goals is evident.”
Results
Since switching to Dark Matter in early 2022, AMOCO has seen noteworthy improvements in overall mortgage efficiency and has garnered positive feedback from members regarding their home financing experience.
Fewer friction points in the application process
Because data is synced in real time across the Empower LOS, Borrower Portal and Loan Officer Portal, AMOCO loan officers and members get notified as soon as there’s a new task or step to complete in the application. This guided process keeps loans advancing through milestones at a rapid clip and reduces the incidence of abandoned applications.
The origination process is further accelerated by the sophisticated document engine within the Empower LOS, which leverages AI and machine learning to automatically classify and index documents, eliminating manual data entry and “stare and compare” tasks. Much of this processing occurs in the background with no human intervention, allowing loan officers to focus their energy where it’s needed most: on the credit union’s members.
“The automatic notifications of loan milestones are incredibly valuable for staying on track and responding quickly to borrower action,” Bonilla says. “Our loan officers can focus on building good relationships with our members and are empowered to make the lending decisions that are truly crucial to building up the mortgage line of business.”
10-day reduction in loan cycle times
As a result of the Empower LOS’s more streamlined origination process, today AMOCO is consistently closing loans about 10 days faster than it did before partnering with Dark Matter.
“It used to take us 35 to 40 days to fully close a loan,” says Bonilla. “Now we average 27 days, and I expect that number to shrink even further as our team members learn to take full advantage of all of Empower’s capabilities.”
A modern mortgage experience for members
AMOCO prides itself on prioritizing the needs of its members. Dark Matter provides an amazing experience through its Borrower Portal, facilitating the efficient expansion of AMOCO’s mortgage business without compromising member satisfaction.
“Borrower Portal never fails to deliver,” said Bonilla. “The ease of uploading and sharing documents and files has been a highlight of the experience for our members.”
Support for a wide range of mortgage products
Switching to the Empower LOS has also streamlined operations by allowing AMOCO to originate a variety of products under one technology roof.
“We use Empower for everything: purchase loans, refis, home equity loans and lines of credit, construction loans and even our portfolio products such as land loans and swimming pool loans,” Bonilla says. “We consider all of these mortgage products, and having a system that’s powerful and flexible enough to handle them all is a boon for our team.”
AMOCO sought a fresh technology ally in the hopes of supporting its expanding mortgage operation and expectations of sustained growth. Dark Matter Technologies not only equips AMOCO with essential tools for the present, but also paves the way for future expansion.
“Among other strategic shifts, we’re preparing for a transition from portfolio lending to a secondary market strategy,” says Bonilla. “As we anticipate AMOCO’s future, we have confidence that Dark Matter will adeptly meet our evolving needs.”