CyberLoan system focuses on commercial real estate

DataMerge Inc., a Denver-based developer of electronic commerce systems for companies or individuals seeking financing, has announced that borrowers or their brokers have submitted commercial real estate loan applications totaling more than $665 million through the company's CyberLoan 2000 system during its first six weeks of operation.

Based on that figure, the company projects more than $75 billion in loan applications will be submitted through CyberLoan 2000 by March 1, 2000, according to a recent news release.

In related news, DataMerge also reported that NationsBanc, Citibank, Banc One, and Wells Fargo have signed on as CyberLoan 2000 lenders, capable of receiving loan applications electronically through the system.

CyberLoan 2000, activated Feb. 1, is an online pre-qualification and routing system for commercial real estate loan applications. It allows borrowers to electronically submit loan applications to the appropriate lenders, according to the release.

The system matches financial information found in the loan application with the individual lending criteria of more than 500 lending institutions. CyberLoan 2000 then automatically routes the application to the appropriate institution, branch and loan officer.

With CyberLoan 2000, the loan application process, which traditionally takes up to two weeks, now takes fewer than 30 minutes.

"CyberLoan 2000 will totally change the way (commercial real estate lending) works the impressive dollar amount funneled through our system in the first six weeks bears that out," said Spencer Kluesner, chief executive officer of DataMerge, in the release.

Kluesner added, "We project that the dollar amount of commercial real estate loan applications submitted online will surpass $760 billion by 2002. This assumption is based on the Federal Reserve's total annual lending estimate of $380 billion[[In-content Ad]]