Lender Switches LOS For Compliance Reasons

Based in Ionia, Michigan, Independent Bank is a full-service mortgage lender with 64 branch locations throughout Michigan and $2.3 billion in total assets. The company had been using the same technology platform for originating mortgages since 1999. However, with new federal regulations requiring lenders to make major changes to the disclosures they provide borrowers, the company decided it was a good time to consider its alternatives, according to Russ Daniel, senior vice president of lending for Independent Bank. Here’s what they did:

After other lenders referred Independent Bank to Ellie Mae, company officials considered two alternatives in addition to Encompass by Ellie Mae. After closely weighing the attributes and functionality of all three systems, Ellie Mae’s Encompass solution emerged as “the clear winner” due to its integrated compliance features and its ability to interface with Independent Bank’s core systems.

“One of the biggest benefits was that Ellie Mae’s Encompass is a fully-integrated, all-in-one solution with a huge focus on compliance,” Daniel said. “In fact, before we had even looked at Encompass, members of my team had been attending Ellie Mae’s on RESPA-TILA compliance. With these new lending requirements about to take effect, it’s a huge confidence booster to know we have a partner like Ellie Mae working behind the scenes to guide us through these changes.”

“The fact that more large regional banks are switching to Encompass because of its compliance features is a sign of how serious these upcoming regulatory changes are,” said Jonathan Corr, President and CEO of Ellie Mae. “Companies the size of Independent Bank do not change their mortgage platforms very often. The fact that they are choosing Ellie Mae demonstrates our ability to help lenders achieve loan quality, efficiency and compliance in every loan they sell.”

About The Author


Tony Garritano

Tony Garritano is chairman and founder at PROGRESS in Lending Association. As a speaker Tony has worked hard to inform executives about how technology should be a tool used to further business objectives. For over 10 years he has worked as a journalist, researcher and speaker in the mortgage technology space. Starting this association was the next step for someone like Tony, who has dedicated his career to providing mortgage executives with the information needed to make informed technology decisions. He can be reached via e-mail at tony@progressinlending.com.