Three things to do before closing: What we learned from studying eClosing: ” We’ve heard from many consumers about the overwhelming process of closing on a mortgage, which can be confusing and difficult. Closing is the part of the mortgage process where you accept the terms of your loan, the last step before you owe, and usually before you owe more than you ever have in your life. As part of our broader efforts to improve the overall mortgage experience, we’ve been exploring how technology can be used to address some of those pain points in the closing process. Today we’re releasing the results of a pilot program where we explored tools and process changes that can help consumers better navigate closing by accessing and signing their closing documents in different ways. Specifically, we examined what would happen if there was more technology involved in the mortgage closing process, with documents being delivered electronically earlier together with online tools and resources. The electronic delivery and signing of closing documents using electronic signatures is sometimes referred to as eClosing. We wanted to study the idea that by using technology as a tool, consumers may be better informed and prepared – putting them in the driver’s seat at closing…Consumers in the study who used the CFPB’s educational tools such as Ask CFPB, a database of commonly asked financial questions, and our closing checklist found in Owning a Home, were more likely to feel that they could play an active role in their closing process than those who didn’t. Consumers who used some of these tools were also much more likely to report stronger agreement on statements like “I had a clear understanding of why the costs outlined in my initial Good Faith Estimate were different than my final closing costs.”

• See also the CFPB report – Leveraging technology to empower mortgage consumers at closing