Two weeks ago, you wrote an article titled Will AI Replace Me? When I read it,
I was still employed. Well, it's two weeks later, and I have been fired and
replaced by an AI bot. I am still in shock. I really did not think my job was
in jeopardy. Other people in my company were also fired and replaced by AI
bots.
Yours is the only compliance firm I have come
across that explains the positives and negatives of artificial intelligence. I
guess, for me, it is a big negative. I have been in the mortgage world for over
twenty years. My main positions were in underwriting, processing, and closing.
I have looked around for work, and nobody's hiring. I'll bet those positions
are now using AI bots.
I don't know what to do next. I'm only
forty-five. I have limited savings and a small family. I feel like I'm getting
squeezed out of the mortgage industry. A group of us met with our company's
COO, and she said the company is moving rapidly toward AI across its
origination process. So, it looks like I'm heading for a dead end. It feels
like I'm being thrown on a trash heap.
What is happening with these AI bots?
Is it Us (the humans) against Them (the AI bots)?
Signed,
Jobless
OUR COMPLIANCE SOLUTION
AI POLICY PROGRAM FOR MORTGAGE BANKING™
Our AI Policy Program aligns with Freddie Mac's AI governance requirements for Freddie Mac Sellers/Servicers. Responsible AI practices can help align AI system design, development, and use with applicable legal and regulatory guidelines.
Our AI Policy Program consists of the following policies:
1. Artificial Intelligence
Governance Policy
2. Artificial Intelligence Use
Policy
3. Artificial Intelligence
Workplace Policy
4. Artificial Intelligence
Credit Underwriting Policy
5. Artificial Intelligence Do
& Do Not Policy
6. Artificial Intelligence
Ethics Policy
7. Artificial Intelligence Vendor Management Policy
Contact us for the
presentation and pricing!
RESPONSE TO YOUR QUESTION
This is a scary time as the world embarks on
this new era of AI technology. Unfortunately, unemployment will increase as AI
replaces human workers. The change will not be one-for-one. In some cases, it
will be far worse, as one AI bot can replace hundreds of humans on a task,
especially in loan processing, underwriting, and other operational roles. I'm
going to be brutally honest with you: underwriters are among the more commonly
cited "at risk" roles in mortgage banking.
WILL AI REPLACE YOU
In the March 19th article you cited, Will AI Replace Me?, the concern expressed was from a loan officer. However, I stated the following AI automations that, as implemented, would adversely affect the need for humans, as follows:
· AI underwriting engines can now complete the entire initial underwriting process autonomously, approving loans days faster than traditional methods. This process is probably the clearest current example of loan origination being removed entirely from human hands.
· Unfortunately, loan processors, underwriting assistants, compliance analysts, escrow coordinators, closing personnel, and data entry clerks are at the intersection I described above, where humans and mimicking humans reside.
In the March 25th article, Will AI Reduce Fair Lending Violations?, I noted, in pertinent part, that "AI can streamline underwriting, reduce operational costs, and identify creditworthy applicants that traditional credit scoring methods might overlook."
SYSTEMIC CHANGE
The transition is systemic, not particularized to just your company, loan products and services, region, or institutional type. From point of sale to securitization, AI is quickly becoming embedded. AI is already doing a lot of what junior underwriters used to do. And, as you know, Fannie Mae's Desktop Underwriter and similar automated systems have been handling straightforward loan approvals for years. That trend is accelerating due to artificial intelligence.
