Loan Application Process

The loan application process begins with the customer applying for the loan either online or in person. A loan application is approved if it passes two checks: 1) The applicants loan risk assessment which is automatically done by the system, and 2) The appraisal of the property for which the loan has been asked, carried out by a property appraiser. The risk assessment requires a credit history check on the applicant, which is performed by a financial officer. This takes approximately 15 minutes. This is followed by the loan risk assessment, which takes 30 minutes. The property appraisal is conducted by the appraiser independently which is completed in 45 minutes. Based on information from both these checks, the loan officer can assess the applicants eligibility. This activity takes 15 minutes. If the applicant is not eligible, the application is rejected. Otherwise, a loan application may be coupled with a home insurance which is offered at a discounted rate. The applicant may express their interest in a home insurance plan at the time of submitting their loan application to the loan provider. Based on this information, if the loan application is approved, the loan provider may either only send an acceptance pack to the applicant or also a home insurance quote. This activity is performed by the loan officer and takes 15 minutes. The process then continues with the verification of the repayment agreement by the loan officer, which takes 10 minutes. On average, about 10 loan applications arrive every hour. Draw the process using process model *