What does Computerized Loan Origination (CLO) allow consumers to do?

Computerized Loan Origination (CLO) systems streamline the process of obtaining a mortgage by providing consumers with the ability to compare various mortgage options efficiently. Through these systems, consumers can access a wide array of loan products, including different interest rates, terms, and lenders, which helps them make more informed decisions about which mortgage best suits their financial situation and needs.

The ability to compare mortgage options is crucial because it enables consumers to identify the most favorable rates and terms available in the market. CLO systems typically aggregate data from multiple financial institutions, allowing users to see not just one lender's offerings but the market as a whole. This comprehensive view helps consumers to weigh their choices effectively.

While pre-approval, managing loans post-approval, and accessing credit scores are important aspects of the lending process, they are not the primary function of CLO systems. Pre-approval typically requires direct interaction with a lender rather than an automated comparison process. Managing a loan is generally a post-transaction action that takes place after approval, and access to credit scores may involve separate platforms or services rather than being an integral part of the CLO functionality. Thus, the focus of CLO is distinctly on enabling consumers to compare mortgage options effectively.