Industry Awakens to B2B Side of EBP.

The acceptance of electronic commerce is creating unprecedented business-to-business opportunities throughout the mortgage industry, according to Cindy Bird, president of First American Default Technologies.

Among these opportunities is the improvement of electronic bill presentment, which involves presenting invoices to a customer electronically, via e-mail or the Internet, Ms. Bird explained in a recent article.

"This technology is a valuable addition to the mortgage industry, as paper billing has receded into an archaic process, costing companies valuable time, resources and money," she said.

While paper bills have historically been the most consistent and dependable form of communication between companies and their customers, they are slow and inflexible, she said.

Financial databases are used by most companies to generate payment reports, which often must be compared to billing statements before any payments can be made. More specifically, some companies are required to enter each loan individually in order to produce payment.

"Paper billing translates into someone having to conduct these processes manually," she said. "Electronic billing, however, eliminates the manual processes and allows for an expedited turnaround time - with both payment and receivables."

As the paradigm shifts from legacy systems to automated processes, it will be imperative for businesses to maintain continuous electronic communication and build upon its effectiveness, she believes.