The conveyancing industry has long been burdened by manual processes that lead to inefficiencies, time delays, and potential errors when performing tasks. As a former paralegal, I’ve experienced firsthand the frustrations of traditional conveyancing methods that are no longer fit for purpose. “Digital” is the way to go.
Digital solutions offer the ability to transform conveyancing, enabling streamlined processes that benefit the conveyancing firms and their clients equally.
The power of non-disruptive innovation
Consider how mobile access to email, calendars, and banking has transformed our daily lives. These seemingly simple innovations are now routine and indispensable. The same principle can be applied to conveyancing. By adopting sector-specific software that integrates seamlessly with existing case management and other business systems, conveyancing law firms can significantly improve their operations – and crucially, without causing major disruptions.
By adopting digital conveyancing, firms can alleviate their administrative woes, achieving a more streamlined operation. Here’s how:
Enhanced client onboarding – Traditional or manual client onboarding is a tedious, time-consuming process fraught with risks. The sheer volume of forms and documents required, combined with ever-changing regulatory requirements – especially know your customer (KYC) and anti-money laundering (AML) legislation, places immense pressure on conveyancing teams.
On the other hand, a digital approach to onboarding can ease many of the challenges through remote ID verification. Clients complete the necessary ID checks with a simple selfie from home and upload it to a digital onboarding system. The system uses biometric technology and scrutinises multiple data sources to verify the individual’s identity (including the authenticity of the photo) and assess fraud risks.
Furthermore, no manual input is required for documentation checks as they happen automatically. The numerous forms such as transfer and contract that need to be completed are populated using the data in the system. In fact, at the point in the transaction when the SDLT form is needed, it will already be up to 95% pre-populated.
The result of all this? The onboarding process which typically takes days, is completed within 24 hours.
Improved compliance and reporting – Digital conveyancing systems provide robust audit trails and reporting functionalities, necessary for demonstrating compliance with regulatory requirements. This is particularly important given the Solicitors Regulation Authority’s (SRA) active monitoring of firms’ KYC and AML obligations.
Digital conveyancing helps mitigate compliance risk by ensuring all the necessary processes are diligently followed and documented.
Moreover, digital conveyancing helps firms meet HM Land Registry’s ‘Safe Harbour’ digital identity standard, protecting against recourse claims due to fraudulent transactions. By carrying out the steps outlined in the digital identity standard, conveyancers can ensure that adequate identity checks are fulfilled and be assured that the HM Land Registry will not pursue any recourse claim due to the registration of a fraudulent transaction. A fundamental requirement for this is that the NFC chip in the passport must be used for identity verification, instead of the image in the passport.
Improved communication – Effective communication is crucial in conveyancing to ensure the delivery of a positive experience to all stakeholders in the process. Digital conveyancing provides intuitive, seamless communication channels, striking a balance between automation and human interaction. For instance, firms can utilise WhatsApp-style chat functionality for direct communication with clients, mortgage brokers, lenders, and estate agents, to help speed up transactions. Clients can be provided with automated updates on transaction progress. All this ensures that the most appropriate and effective form of communication is used across the lifecycle of conveyancing transactions.
Seamless integration with case management systems – By integrating digital conveyancing solutions (e.g. client onboarding, compliance, form management) with the existing case management system, firms create a centralised, secure repository for all data. This eliminates the problem of scattered information across various platforms including shared drives, Outlook, and Excel sheets – and physical files. This means that lawyers can easily search for and retrieve information, providing speedy and timely access to all current and historical data.
Digital signatures – Integrating digital signatures as part of digital conveyancing addresses longstanding issues in the conveyancing process, such as eliminating delays caused by untimely signatures, and preventing Land Registry requisitions due to illegible signatures. Usefully, conveyancers can create digital envelopes with multiple documents going to multiple parties for signatures, directly from the case management system, regardless of the device. Once the documents are signed, they are automatically imported into the case history in the case management system. As easy as that!
The opportunity to modernise with digital conveyancing
Despite the clear benefits, some firms hesitate to embrace digital conveyancing due to resistance to change internally or the perception that current systems are adequate. Why fix what isn’t broke, right? The reality however is that the traditional conveyancing processes are increasingly ill-suited to modern demands across the stakeholder spectrum – from lawyers and mortgage brokers to estate agents and clients. Digital conveyancing is designed to be non-disruptive and is often easy to adopt. This approach embeds industry best practices and governmental guidelines into firms’ day-to-day workflow.
The transition to digital conveyancing represents a significant opportunity for law firms to modernize their operations, improve service delivery, and stay competitive in an evolving market. By leveraging technologies that integrate with existing systems, firms can achieve these benefits without major disruptions to their current operations.
The advantages of digital conveyancing are too significant to ignore. As clients increasingly expect faster, more transparent services and regulatory bodies tighten their scrutiny, the case for digital conveyancing becomes even stronger. It’s not just about keeping up with technology – it’s about providing better service, ensuring compliance, and running more efficient, profitable operations.
The journey to digital conveyancing may seem daunting, but with the right partners and a willingness to embrace change, conveyancing law firms can transform their conveyancing processes and reap the rewards of increased efficiency, accuracy, and client satisfaction. In an increasingly digital world, the question is no longer whether to adopt these technologies, but how quickly firms can implement them to stay ahead of the curve.
Laura Wood is a Client Advisor at LexisNexis Enterprise Solutions
