07-05-2021 03:58 PM - edited 13-05-2021 04:49 PM
Right across Australia, the number of property settlements have skyrocketed, with WA leading the charge with a 67.8% year-on-year change in March 2021. These increased volumes translate to higher pressure on people and processes to complete settlements in a timely manner – leading to added stress and frustration.
Our purpose is to transform the property experience for everyone, and we are open to ideas and feedback on how we can help alleviate some of the stress in the process. To do this, we are in the process of establishing Member Advisory Councils in each state (WA being the first to be set up). The council is made up of representative members across the settlement industry to help provide us input on how we can all work together to improve the process.
One pain point highlighted by high volume member firms and the banks is the amount of settlements booked for a day that do not end up settling – which results in unnecessary work for all parties involved. One example cited was a major bank having 1,475 settlements booked on the last day of April 2021, and fewer than 1,000 actually settled on the day.
CS Legal is keen to explore options to alleviate some of this stress on the day of settlement for their team and the other parties in the Workspace, similar to the approach taken by the Department of Communities. CS Legal have proactively approached the banks and PEXA to determine what can be done now – without the need to make any changes in the platform (which may take some time).
The idea is to run a limited, controlled, Practitioner initiated pilot, that is supported by a number of banks. In this pilot, all Workspaces identified will be monitored closely by us and the banks to determine the success of the initiative. The pilot will help us ascertain if this approach has the potential to help all parties, and if so, how we could facilitate any changes in the platform to bring about more certainty in your settlements.
We will continue to work with all our members as we seek to enhance your settlement experience and welcome your feedback.
13-05-2021 04:53 PM - edited 13-05-2021 10:53 PM
Further to the post above, we are currently working with parties who have volunteered to be involved in the Practitioner led initiative.
Together, we are defining the parameters of the pilot, to ensure that we can effectively monitor the results of this initiative.
This will provide insights to how we can potentially shape the process to provide more certainty, consistency, and a better overall experience to your online settlements.
Parameters of the pilot:
Each Practitioner participant will:
The pilot will run from Monday 17 May 2021 to Friday 4 June 2021. We will then review the impact of the initiative and subsequently, the best way forward for all WA settlement industry participants.
14-05-2021 12:39 PM
With the increasing volume of PEXA transactions we continue to review our processes to ensure we can meet demand.
We are investing in technology to increase the efficiency of some tasks, including accepting invitations and entering payout figures to workspaces, the benefits of which will begin to flow through in the coming weeks.
As we have done over the last 12 months, we also continue to invest in our people, mobilising additional resources including bringing on more team members.
These improvements are aimed at being ready earlier by having the settlement date/time accepted and the documents created at least the day prior to settlement, which aligns to some of the key items spoken about above.
We are focussed on working with the industry to deliver what matters to customers – confirmed settlement at the time they request.
Chief Product Owner
CBA Retail Home Lending Operations
19-05-2021 02:14 PM
At NAB we are committed to improving customer experience. In an environment of increased and fluctuating volumes, we have several initiatives in progress, including automation, process improvements and technology changes.
Approximately 30% of settlements roll over from day to day as a result of one or more participants not being ready in the workspace. This new pilot will provide certainty for customers where all participants are ready and will set realistic expectations for instances where some participants aren’t ready.
We all know there is a recipe for success with regards to settlement certainty and we encourage all participants to commit to the following steps to ensure that we drive up the number of settlements that settle on the right day, at the right time:
Our goal is to ensure our customer’s settle on the right day at the right time. Working with others in the industry on a pilot like this is key to improving our customers settlement experience.
NAB - Lending Services
20-05-2021 11:48 AM - edited 20-05-2021 11:49 AM
ANZ is really pleased to be participating in this trial as we firmly believe that improving the settlement experience for our mutual customers requires openness and collaboration between financial institutions, practitioners and PEXA.
We are encouraged by the results so far and look forward to doing our part to deliver on our shared goal to improve settled on time results to provide customers with the property settlement experience that they deserve.
ANZ - Digital Settlements Lead
20-05-2021 03:40 PM
At Westpac we are clearly supportive of a safe, simple and efficient experience for all our customers, practitioners and employees and we are driven to help improve the property transfer industry overall. Our collective goal is to make settlement a smooth transaction for all involved. We have embraced this pilot to help identify opportunities to streamline the process and provide a seamless experience in the lead up to settlement for all involved.
To further support this move to a better experience for all involved in the process, we are committing to several additional initiatives to improve our digital settlement experience with automation, regular reviews of PEXA transfer guideline reporting, and improving communication with our lenders. This will enable an earlier return of critical loan documentation to provide an optimal settlement service for our customers.
11-06-2021 12:35 PM
Per previous post, PEXA has been facilitating an industry-led pilot to look for ways to improve the online settlement experience for all. Now that the pilot is officially over, we thank the parties involved in the pilot for their feedback. We will use the findings from the pilot to determine how PEXA can be involved in providing more certainty and structure to the online settlement process.
Why run the pilot:
Initial feedback from pilot participants:
Please note that some of the parties involved in the pilot, for example CS Legal, may continue to work on this basis of reviewing the Workspace the day prior and moving out settlement dates if required, as part of their ongoing BAU processes.