Digitization is having a significant impact on every sector, and the banking industry is no exception.

Earlier, people used to go to banks for loan approvals, account openings, and other investments, but now electronic signatures have made it possible to sign documents from anywhere, without needing to visit the bank. This transformation will not only improve customer experience but also makes things easy for ordinary people. Moreover, implementing e-signatures can bring quantifiable outcomes in terms of cost reduction, transaction completion time, and customer experience.

With technology-enabled touchscreen devices, signing documents digitally has now become common instead of a nightmare. E-signatures enable potential customers to finish tasks in a hassle-free manner quickly. Besides, digital signatures cannot be tampered and all the records can be maintained for audit-ready.

Studies have reported that implementing e-signatures: 

• Saves 1.3 hours per transaction by eliminating inefficiencies in reviewing and tracking documents.
• Saves $11 per transaction involved in shipping, paper, ink, and printers
• Improves sales cycle times with predefined templates and CRM integrations
• Eliminates printing, mailing or faxing paper documents

Here, we present some of the benefits that the banking sector can enjoy by adopting e-signatures.

E-signature software – efficiency is key

Customers fill hundreds of loan applications, and each application requires a signature to be processed further. When handled by paper, it is difficult to track where exactly the document is in the signing process.

E-signature software allows employees to send reminders to the signers so they can sign documents on time. Also, you can track where a particular document is stuck in the signing process. This improves visibility and transparency for banks, which enables them to take the necessary action by sending reminder emails to the recipient. E-signature solutions eliminate the need for the customer to visit the branch directly.

The following four elements show why e-signature software can help the banking sector, as well as other sectors, become more efficient in their overall processes.

1. Streamlines internal processes

Going digital eliminates all the steps involved in the paperwork. Instead of printing, scanning, and sending paper contracts and agreements, you need a device to fill out documents completely and sign from one place. No more paper scans hold you back.

You don’t have to waste time in disorganization; instead, request signatures from others directly and complete transactions in real-time. You can also send automatic reminders and notifications to applicants if documents were not signed in the real-time.

2. Minimizes transaction time

E-signatures allows banks to process more transactions in less time, thus improving productivity. The solution can simplify back-office functions and minimize transaction time to hours, rather than days. The solution saves time for every transaction while eliminating inefficiencies in tracking and archiving documents. Automation would eliminate human errors associated with paper-based records.

3. Concerns itself with security

Paper documents can be damaged easily, and signatures can be tampered. Also, the documents can be easily stolen or misplaced. E-signatures ensure security for the documents that have been transmitted between the systems, so you don’t have to worry about security and storage issues.

Digital signature solutions use text-based authentication to validate both the signing parties. Once the signing process is completed, the software uses tamper-resistant validation techniques to secure the document’s integrity. Audit trails are conducted to keep track of all documents and to make sure no document falls out of the cracks.

Changes made to every document are tracked, so anything you want to know can be quickly figured out. Some e-signature software options track the actual IP address or the device used for signing. So all your information is safe and legitimate without any theft.

4. Turns savings over to you

Banks spend millions annually to correct, retype, rework, and authenticate signatures on their business documents. With e-signatures, they can eliminate almost every type of error related to client signatures. Also, this process can speed up the workflow as they can be incorporated easily in the automated document process, thus saving time, cost, and manpower. 

E-signature software can cut down the costs associated with manual processing, data entry, and paper storage by getting rid of heavy paper documentation. The software helps banks to save dollars that needs to be spent on checking human errors. Banks can also spend more time on finding business opportunities rather than validating the data.

3 elements to look for in e-signature software

There are a lot of e-signature software solutions available in the market. Choosing a solution requires you to spend time researching the best software. Here are some key aspects to look for when selecting an e-signature solution: intuitiveness, integrations, and security are the top three.

1. Intuitiveness

The solution you choose should be very intuitive so that users can sign the documents simply using a stylus. Selecting an e-signature solution allows you to access the documents and sign electronically while ensuring compliance.

2. Integrations

Choose a solution that integrates with your applications such as Google, Salesforce, Dropbox, ShareFile, and more. You can directly pull in the documents and sign, without even spending time on importing documents.

3. Security

Data security is of the utmost importance when choosing an e-signature solution. The solution you want should act as a digital vault for your information, so your data enclosed in the document is safe and secure. The data should be encrypted with the standard protocol each time you sign or import documents. This way, your data will be stored securely, and auditing becomes easy. 

Conclusion

With e-signature software, banks can accelerate sales cycles with default templates, successfully onboard customers, reduce operational costs, and environmental impact. Like efficient digitization with the support of a document management system, advancements in e-signature technology is surely a great option for businesses to consider. 

Stay secure and streamline signatures by finding the right e-signature software solution for your needs, only on G2.