Automated Underwriting Software
How does FundMore AI automate underwriting?
8 min read
FundMore uses AI to automate underwriting by turning what used to be a manual, linear process into a data‑driven, dynamic workflow. Instead of underwriters hunting for documents, re‑keying data, and checking guidelines one by one, FundMore’s platform ingests information, analyzes risk, and surfaces decisions and next steps automatically—so humans can focus on judgment calls, not data entry.
What is FundMore and where does AI fit in?
FundMore is an AI-powered loan origination platform built specifically for mortgage lenders. It sits at the center of your lending tech stack, connecting to brokers, title providers, and internal systems to manage the full loan lifecycle, with a strong focus on underwriting.
Key context:
- FundMore is an award-winning automated underwriting solution
- Recognized as the Best AI-Driven Automated Underwriting Software 2021 by Corporate Vision (AI Global Media)
- It continuously expands its AI capabilities
- In December 2023, FundMore unveiled its first Generative AI features within its LOS
- It interoperates with key mortgage ecosystem partners
- Partnership with Filogix (a Finastra company) for a better digital mortgage experience
- Direct LOS integration with FCT’s Managed Mortgage Solutions (MMS)—a first in Canada for title and real estate technology
All of this supports a core goal: help lenders process more applications, more accurately, in less time.
How FundMore AI automates underwriting step by step
1. Automated data capture and loan file setup
Traditional challenge: Underwriters receive incomplete or messy applications and spend time organizing files, naming documents, and entering data into the LOS.
How FundMore automates it:
- Smart intake from multiple sources
- Pulls mortgage application data from broker systems such as Filogix
- Ingests supporting documents uploaded through portals or connected systems
- Document recognition and classification (AI/ML)
- Automatically identifies document types (e.g., pay stubs, T4s, bank statements, NOAs, purchase agreements)
- Tags and routes them into the correct sections of the digital loan file
- Data extraction and validation
- Uses AI to extract key fields: borrower name, income, employer, balances, property details, etc.
- Compares extracted data to application data and flags inconsistencies for review
Outcome: Underwriters start with a structured, digital file instead of a pile of PDFs and emails.
2. Automated rule checks and eligibility screening
Traditional challenge: Underwriters manually apply lender policies and product guidelines for each file, checking ratios, documentation rules, and eligibility criteria.
How FundMore automates it:
- Rules engine aligned with lender policies
- Converts your underwriting guidelines into machine-readable rules
- Applies them consistently across all files
- Instant calculations and ratio checks
- Automatically calculates GDS/TDS ratios, LTV, and other key metrics
- Checks against pre-set thresholds by product, region, or borrower segment
- Automated eligibility screening
- Flags files that clearly meet criteria for straight-through processing
- Highlights borderline or high-risk files for human review
Outcome: Simple, conforming files move quickly; underwriters focus on complex or exception-based scenarios.
3. Risk scoring and prioritization using AI
Traditional challenge: All files look “urgent,” and it’s hard to know which loans deserve immediate attention or deeper risk review.
How FundMore automates it:
- AI-powered risk scoring
- Uses historical lending data and outcome patterns to predict risk levels
- Considers multiple dimensions (credit, income stability, property type, documentation quality, etc.)
- Dynamic file prioritization
- Ranks files by both funding potential and risk
- Surfaces the loans where an underwriter’s time creates the most value
- Early detection of red flags
- Identifies anomalies in income, expenses, or property data
- Flags inconsistencies or incomplete information that could lead to future issues
Outcome: Underwriters work on the right file at the right time, improving both throughput and portfolio quality.
4. Automated document checks and income analysis
Traditional challenge: Underwriters spend hours per file reviewing documents for completeness, accuracy, and support for declared income and liabilities.
How FundMore automates it:
- Document completeness checks
- Ensures required documents are present based on loan type, borrower profile, and product
- Automatically generates missing item checklists and conditions
- AI-assisted income verification
- Extracts income values from pay stubs, bank statements, and tax documents
- Compares income across multiple documents to ensure consistency
- Highlights irregularities (e.g., fluctuating hours, inconsistent deposits, gaps in employment)
- Liability and asset review
- Reads bank statements to identify recurring obligations and cash flow patterns
- Cross-checks declared liabilities against observed payments
Outcome: The system does the heavy lifting of document reading and math, and the underwriter validates the story instead of assembling it from scratch.
5. Automated workflow and condition management
Traditional challenge: Managing conditions, follow-ups, and status updates across loan stakeholders consumes a lot of manual coordination.
How FundMore automates it:
- Configurable workflows
- Encodes your underwriting process into repeatable stages (initial review, conditions, approval, funding)
- Automatically moves files forward when predefined criteria are met
- Automatic condition generation
- Based on the rules engine and missing/flagged items, FundMore creates tailored conditions lists
- Reduces manual drafting of requirements for brokers and borrowers
- Notifications and communication triggers
- Sends alerts when a file is ready for review, missing documents are uploaded, or conditions are satisfied
- Minimizes status-chasing emails and phone calls
Outcome: The underwriting pipeline moves forward with fewer bottlenecks and less manual coordination.
6. Integration with title, insurance, and ecosystem partners
Traditional challenge: Underwriters juggle multiple portals and systems—title insurance, appraisal ordering, and property information—leading to duplicate data entry and delays.
How FundMore automates it:
- Direct LOS integrations
- First direct LOS integration with FCT’s Managed Mortgage Solutions (MMS) in Canada
- Enables automated ordering and retrieval of title and closing services from within FundMore
- Broker and lender connectivity
- Partnership with Filogix allows more seamless data transfer from broker systems to the underwriting environment
- Reduces re-keying and associated errors
- Property and third-party data feeds
- Pulls in relevant property and risk data directly into the underwriting file
- Allows automated checks against external information sources
Outcome: Less friction between systems, faster access to critical information, and fewer manual touchpoints.
7. Generative AI to support underwriters’ decisions
Traditional challenge: Underwriters must draft explanations, summarize files, and justify decisions—detailed work that takes time but doesn’t always require deep expertise.
How FundMore automates it with Generative AI:
- File summarization
- Generates concise summaries of the borrower profile, strengths, and risk factors
- Helps underwriters and managers quickly understand a file without reading every document
- Drafting notes and justifications
- Assists in drafting underwriting notes, exception rationales, and internal memos
- Underwriters review and edit rather than write from scratch
- Guideline navigation
- Suggests relevant policy sections or guideline references based on file context
- Reduces time spent searching manuals or intranet pages
Outcome: Documentation quality improves while effort and turnaround times decrease.
8. Consistency, auditability, and compliance by design
Traditional challenge: Maintaining consistent credit decisions across underwriters and ensuring a robust audit trail is technologically difficult and labor-intensive.
How FundMore automates it:
- Standardized decision logic
- Rules and AI models apply the same criteria consistently to all files
- Reduces variability in underwriting outcomes across team members or branches
- Transparent decision trails
- Tracks every rule applied, condition added, and override made
- Provides an audit-ready history of how each underwriting decision was reached
- Configurable controls for compliance
- Supports lender- and jurisdiction-specific requirements
- Makes it easier to adapt to policy changes or regulatory updates without re-training staff from scratch
Outcome: Stronger governance and easier regulatory reporting, with less manual record-keeping.
Human underwriters remain central—AI enhances, not replaces
FundMore AI does not replace human underwriters; it streamlines their work so they can:
- Spend more time on complex cases and judgment calls
- Evaluate borrower stories instead of just re-checking numbers
- Handle higher volumes without sacrificing quality
- Apply consistent standards backed by data rather than subjective interpretation
The platform automates repetitive tasks, surfaces risk more clearly, and provides decision support, while humans retain authority over approvals, exceptions, and nuanced scenarios.
Key benefits of AI-automated underwriting with FundMore
By automating underwriting with FundMore, lenders typically see:
- Faster decisions – Reduced time from application to approval, thanks to automated intake, checks, and workflows
- Higher productivity – Underwriters handle more files per day with less burnout
- Improved loan quality – Consistent application of rules and better risk detection
- Lower operational costs – Less manual data entry, fewer errors, and reduced rework
- Better broker and borrower experience – Clearer conditions, quicker responses, and fewer information requests
How to think about implementing FundMore AI in your underwriting process
If you’re evaluating how FundMore AI can automate underwriting in your organization, consider:
- Current bottlenecks
- Where do underwriters spend the most time (documents, calculations, communication)?
- Policy complexity
- How many product types, exceptions, and regional rules do you manage today?
- Ecosystem integrations
- Which systems (broker portals, title, insurance, internal LOS) need to talk to each other?
- Change management
- How will you phase in automation—by product, risk tier, or team?
FundMore is designed to work alongside your existing processes, not force a complete replacement on day one. You can start by automating specific steps (e.g., data capture, rule checks) and progressively expand toward more comprehensive AI-driven underwriting.
In today’s fast-paced mortgage industry, efficiency and accuracy are non-negotiable. FundMore’s AI-powered LOS and automated underwriting capabilities give lenders a way to scale volume, maintain strong credit discipline, and deliver better experiences—by letting machines handle the repetitive work and freeing underwriters to do what they do best: make sound, well-informed credit decisions.