Although Chat GPT and similar Natural Language Processing (NLP) forms of AI aren’t quite what we do here at LodeStar, which is doing closing fees really, really well, it was another topic of wide conversation at the conferences we’ve recently attended. And although marketers really, really…really overuse and abuse the term “game-changing,” well, Chat GPT actually is. 

So I’d like to share a few thoughts about the arrival of this “next-gen” (sorry!) technology.

First and foremost, we’re just scratching the surface of what Chat GPT can and will be able to do for us in all facets of our daily lives, including, of course, during the time we spend supporting the mortgage industry. Almost all of us have already had the technology whip up a quick article or something similar.

But the possibilities are seemingly endless, and perhaps not even limited to communications. 

Future uses of NLP tech

Obviously, anything dependent upon communications will likely be leaning on some form of NLP sooner than later. That will likely include marketing, customer service and vendor management. It may even aid us by facilitating and accelerating innovation and invention.

I, however, think about how Chat GPT-like technology could help us in the mortgage industry, especially with one of my favorite targets, the borrower experience. I’ve long called for the increased and better use of technology not only to emancipate LOs to better serve the customer (rather than selling them products they don’t need) but to improve the entire customer journey as well. Communication is the foundation of service. NLP will quickly assume a major role there, helping to educate borrowers; more efficiently connecting all of the different parties required to produce the mortgage; and expediting as well as improving data exchange and communication in general.

I also have to believe that NLP AI could help owners, executives and managers better manage their employees, leading to improved office cultures. Perhaps a real two-way dialogue between employee and employer could become commonplace, rather than occasional.

Other opportunities, too

I should also point out that, as is the case with any new technology, the bad guys in the world of cybercrime will undoubtedly be seeking ways to exploit things like NLP AI (e.g. Chat GPT) for nefarious ends as well. While the current prototypes have some protections programmed into them, there’s nothing keeping others from launching similar technologies. What could that mean?

Probably not the end of the world. Yet. 

Right now, it’s relatively easy (if you’re awake and aware, at least) to spot many phishing or other Business Compromise Email scams. Misspellings about. The use of the language isn’t quite…right. And while enough of these tip of the spear emails get through anyway, now imagine if the amount of such emails you receive doubles. Or triples. Or quintuples–all with perfect (or at least, human-caliber) spelling and grammar.

Again, we’re just getting started with technology like Chat GPT. There’s a lot more to come. Keep in mind that complex AI technology is still beholden to the humans that program it, replete with all of their biases, misconceptions and perspectives. That alone could lead to some truly awful outcomes. But the opportunity to do some truly great things, like effecting some long overdue changes in the mortgage industry, is nothing short of exciting.

We at LodeStar are grateful to all of our clients, friends and colleagues who take the time to view Deeper Thoughts. Please consider having a look as well at some of our other great content, including our podcast, “LodeStar’s Lending Leaders,” and “A Tale of Two Mortgages: an original webcomic for the mortgage industry, presented by LodeStar.”  As always, your feedback is welcomed and appreciated!