Kicking And Screaming
By Tony Garritano
Everyone these days talks about the need for greater transparency. They say if the mortgage industry is more transparent it will restore trust and investor confidence. The way to be more transparent is to embrace a truly data-driven process. However, lenders have been and continue to be slow in moving in this direction. So, the government has stepped in and FHFA has mandated the GSEs to push the mortgage industry in this overall direction. As a result, we have UMDP. And boy are lenders unhappy. Nonetheless, this may be what is needed to bring lenders into this century, even if they have to be moved kicking and screaming. Here’s where technology can play a role. Technology vendors can help ease the kicking and screaming to maybe a mild temper tantrum. To this end, PROGRESS in Lending has learned that LPS is making it possible for lenders to be more data driven with a new initiative. Here’s the scoop on how:
Compliance Systems, Inc. (CSi), a provider of data-driven compliance documentation technology, has been tapped to help LPS advance mortgage lending. Specifically, CSi’s IntelleDoc Solutions will be incorporated into LPS’ InSync offering. You’re probably asking now: What’s InSync? InSync is a new technology driven by CSi and embedded within Empower, LPS’ enterprise loan origination system, which supports the paperless origination process for mortgage lending.
CSi IntelleDoc Solutions employ a systematic approach that transforms how mortgage loan documentation is created and managed. Designed for integration with LOS systems, IntelleDocs combines industry knowledge, compliance and business logic, extensive compliance processes and dynamic document technologies to deliver a fully integrated electronic data and document solution to lenders. CSi IntelleDocs are smart software applications that are the compliance and documentation technology at the heart of LPS’ InSync.
“Many originators are still relying on dated, legacy approaches of using static document templates for mortgage lending,” said Dennis Adama, President of CSi. “In this highly regulated environment, this outdated process is prone to errors, increased workload, redundancy, and missing or incorrect data leaving the lenders exposed to risk and potential fraud.”
CSi’s IntelleDoc Solutions leverage a single, data-driven system to dynamically assemble accurate documentation for all key business lines, including Fannie Mae/Freddie Mac, FHA/VA, home equity and consumer/commercial lending. Its rules-based system uses mainstream technology and is scalable offering flexible deployment options. The smart software applications evaluate the transaction data then automatically select and assemble accurate documents-all of which CSi warrants.
“As the mortgage industry evolves to a paperless process, the concept of data integrity and document accuracy and security throughout the loan origination process is critical to ensuring the quality of the loan,” said Roger Gudobba, CSi Chief Strategy Officer. “CSi’s IntelleDoc Solutions fully embrace e-mortgage initiatives by focusing on and managing the data specific to a transaction and warrants that the resulting documentation is in compliance.”
“Partnering with LPS to deliver a solution that combines CSi IntelleDocs with LPS’ Empower will help lenders take the loan origination process to the next level while enhancing data and document security at the same time,” added Mr. Adama. “Working as a true partner with LPS, rather than as a vendor, is at the heart of CSi’s business philosophy that has proven a successful model in the market in meeting our mutual customers’ needs.”
On a side note, it’s innovation and true solutions to age-old problems similar to what I’ve discussed in this column today that will be at the heart of PROGRESS in Lending Association’s ENGAGE 2011 Event to be held at this year’s MBA Annual. If you want to learn how to grow your business in a down market, we encourage you to attend. Also, we’ll be giving away a free iPad2. In order to be entered into the iPad2 drawing you must RSVP and be in attendance at the event. So, RSVP HERE. We look forward to seeing you there.
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.
Solving Appraisal Issues Through Partnering
By Tony Garritano
Are you confused about all the regulation surrounding appraisals? I think a lot of lenders are. That’s where technology should help. Vendors should come together to help the lending community. To this end, PROGRESS in Lending has learned that Veros Real Estate Solutions (Veros), a collateral valuation technology, enterprise risk management, and predictive analytics provider, and JVI Solutions LLC (JVI), specializing in appraisal, inspection and education, have launched VeroINSIGHT, a property condition report directly addressing regulatory guidance surrounding collateral evaluations. Here’s how this new solution works:
VeroINSIGHT goes beyond existing products by uniformly capturing aspects of the property’s current condition, as well as its general marketability. Not available in any other report, VeroINSIGHT has adopted the Uniform Appraisal Dataset (UAD) rating system and definitions surrounding property condition and quality. The inclusion of these specific UAD codes will signal a clear description of the property at a specific point in time.
“The partnership between Veros and JVI creates an exclusive advantage through VeroINSIGHT for those who are concerned about their existing processes holding up in an audit against the Interagency Appraisal & Evaluation Guidelines,” said William E. King, director of valuation initiatives for Veros. “By benchmarking decisions on a ratings system established by government-sponsored enterprises, VeroINSIGHT clients have a deeper level of confidence knowing their vendors are speaking the same language as regulators and investors.”
VeroINSIGHT is designed to help lenders, insurers, and other stakeholders make specific valuation decisions by providing verification of property condition through external and/or internal inspections, input on neighborhood marketability and with current photographs of the subject property. The report is completed by a field service inspector and fills a gap between over-purchasing property evaluation service when full appraisals or broker price opinions may not be necessary and not having enough data for regulators in the event of an audit.
Distinct benefits of VeroINSIGHT include:
>> Utilizing the ratings and definitions for condition and quality as established under UAD that are uniformly accepted by Freddie Mac, Fannie Mae, Ginnie Mae, as well as the Department of Housing and Urban Development (HUD).
>> Not requiring integration so clients can be up and running almost instantly.
>>The potential to be paired with an AVM for enhanced valuation decision-making.
So, let’s all look to technology to help comply with UAD.
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.
Let’s Focus On The Positive
By Tony Garritano
We know that the mortgage industry has problems. We face those problems every day. And we are also reminded of those problems by the media. So, instead of harping on the problem, let’s talk about some solutions. For example, PROGRESS in Lending has learned that ClosingCorp., an independent real estate data and technology company that provides online data services for mortgage lenders, real estate professionals and consumers to expedite closing activities, has launched its SmartGFE Service for wholesale and correspondent markets. This tool solves some real industry issues. Here’s what I mean:
ClosingCorp’s SmartGFE Service empowers the wholesale and correspondent lending channels to remain viable by providing lenders immediate access to RESPA-compliant Good Faith Estimate (GFE) data. The system delivers live rates for local and national real estate closing services, as well as transfer taxes and recording fees needed to generate accurate GFEs.
“At a time when many large lenders have left the wholesale and correspondent markets, the SmartGFE Service is designed to help lenders mitigate third-party risk and comply with new regulations established by the Dodd-Frank Act,” said Paul Mass, president of ClosingCorp. “Lenders today must take advantage of available technology to create quality loan files at the onset of the process, reduce tolerance violations and improve their bottom line.”
The SmartGFE Service streamlines workflow and offers a quality control mechanism for inbound loan files, helping lenders reject bad files and prevent tolerance violations. The service protects lenders faced with the challenge of the loan officer compensation provisions within Dodd-Frank, which prohibit a lender’s ability to “bill back” any cures paid out due to incorrect fee disclosures. Lenders who receive third-party originated loans now have increased financial accountability for accurate GFEs, and the SmartGFE Service provides a cost-effective method to ensure consistently precise GFE data.
The SmartGFE Service enables wholesale and correspondent lenders to provide a portal whereby accurate GFE data for disclosures is shared with business partners and ultimately backed by a compliance guarantee. Lenders can also private-label the SmartGFE solution to deliver to their brokers. This allows brokers to apply accurate data to create GFEs initially, and then transfer the compliance certificate to the lender.
”More than ever, traditional lenders must create valuable, cost-effective partnerships with wholesale and correspondent originators,” said Cathy Blaszyk, vice president of Lender Services for ClosingCorp. “Many lenders now understand that engaging technology to generate precise GFE data can reduce risk and improve overall operations.”
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.
A Bit Of Shock And Awe
By Tony Garritano
I have to say honestly, I’m a bit shocked. Every year Xerox Mortgage Services does its Path to Paperless Survey and I report ion it. I believe strongly in paperless processing and I think you should, too. The results of this year’s survey are quite interesting, and gratifying if I do say so myself. I especially like how strongly lenders responded to the e-mortgage questions put to them by Xerox. As they say, “A picture is worth 1,000 words”. Here’s a snapshot of some of the results:
This year, the results find that online collaboration across multiple players in the loan process is key to the paperless process, with 96 percent of survey respondents (up from 45 percent in 2010) indicating that working together through an electronic loan folder is critical to achieving a paperless mortgage environment. Today an e-loan folder, tomorrow an e-mortgage.
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.
We Should All Give Back
By Tony Garritano
I think it’s so important to give back. A few weeks ago I wrote about a few technology vendors that were involved in various charities and good causes. Now I have another similar story to share. PROGRESS in Lending has learned that Prommis Solutions, a provider of technology-enabled knowledge processing services for the real estate finance industry, has collaborated with Talk About Your Future, Inc. (TAYF), an Atlanta-based nonprofit organization focused on helping at-risk students at Atlanta’s urban High Schools to graduate and to move on to productive careers and happy, healthy lives. This is a really great story:
As part of its involvement with Talk About Your Future, Prommis Solutions recently provided marketing support, logistics and technical support for the launch of GradyTalks.org, Talk About Your Future’s completely revised website devoted to its work at Grady High School in Atlanta.
Prommis Solutions’ CEO Denis Brosnan is Chairman of the Board of Directors of Talk About Your Future and has spoken in the organization’s student lecture series. In March 2011, Brosnan addressed Grady High School students, discussing such topics as creating self-confidence and the importance of mentors. Several other Prommis Solutions employees will be speaking at Grady High school this coming school year.
At its core, the Grady Talks program provides a bi-weekly lecture series for Grady High School students. The topics covered by the all-volunteer corps of speakers include career planning, self-motivation techniques, communication skills and other subjects that nurture enthusiasm and support for the educational and career trajectory of the student population. Speakers are customarily business professionals and leaders from the greater Atlanta, and have included not only professionals like Brosnan but also other noted figures such as former NBA basketball player and current sports announcer Chris Webber.
“At Grady Talks, our goal is to provide hope, guidance, inspiration, motivation and direction to these students,” said Liz Lieberman, founder of Grady Talks. “This program is intended to help these students stay focused and diligent in school in order to achieve personal and professional success.”
Grady Talks focuses on helping students find their passions and introducing them to the available options that can advance them toward their career goals.
“Sixteen is the legal drop-out age – that’s when students have the legal option to discontinue their schooling,” said Brosnan. “We say ‘no way’ to that option. Prommis Solutions got involved with Grady Talks because we are committed to building a culture of highly skilled, motivated and happy employees. We feel it is within our social responsibility to support programs like Grady Talks that give our young people the motivation and tools they need to live happy, productive lives. Like Talk About Your Future, we believe that starts with a dream and a high school diploma.”
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.
Move Over SAS 70
By Tony Garritano
While SAS 70 has been the gold standard, it is now being replaced. The new SSAE 16 Type II audit is the more exacting and thorough version of the new standards, requiring on-site physical verifications of security measures, control objectives and activities by an independent, approved auditor. The audit on one LOS vendor that we know has already passed muster was performed by SAS 70 CPA of Palm Harbor, Florida, one of the leading SAS 70 and SSAE 16 audit firms in North America. Here’s the details:
PROGRESS in Lending has learned that Mortgage Builder has recently undergone the new SSAE 16 Type II audit process and has completed the thorough examination successfully. The SSAE 16 is the next generation of SAS (Statements on Auditing Standards) audit, designed to test organizations’ abilities to protect sensitive business data for their clients. The SAS standards are issued by the American Institute of Certified Public Accountants (AICPA), and are a prime concern for lenders that entrust their information and process security to loan origination software (LOS) providers.
“The top level SAS audit is not a requirement for LOS systems, but I think it should be,” says Keven Smith, president and CEO of Mortgage Builder. “When you consider the sensitivity of the information handled by the LOS and the exacting tolerances for security required to provide the needed levels of protection for lenders, Mortgage Builder regards passing these audits as a necessity,” he says. “It is tremendously important for our clients to have confidence in this critical aspect of their business.”
In addition to assuring clients that their provider is doing things the right way, the SSAE 16 Type II audit means lenders are spared the burden of having to perform the audit themselves on all the companies they do business with that handle sensitive information. “When we pass the audit it is just as if the lender themselves had conducted the examination,” says Kevin Gusler, IT relations manager at Mortgage Builder who has been with the company for 14 years and through all of the audits of the past. “It is not an unchallenging process,” Gusler notes, “but it is one we are highly experienced with and are completely prepared for. We had been planning for the new SSAE 16 ever since last year’s SAS 70 Type II, and we did very well on the audit.”
Keven Smith points out that the company spends a significant amount of time, money and hard work on the audit process. “It is always a concerted team effort,” he says. “But seeing yet another certification plaque go up on the wall and knowing that we have met every test with flying colors is highly satisfying – and essential to our clients’ security.”
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.
“E” Collaboration Isn’t Just For Originators
By Tony Garritano
I talk a lot about electronic collaboration. E-collaboration has a lot of benefits. However, I rarely talk about how it can impact servicers as well as originators. Well, I’m here to tell you that its impact is universal. For example, PROGRESS in Lending has learned that DecisionReady, a provider of default servicing compliance solutions, has released a vendor compliance management module for the DecisionReady Compliance Suite on its cloud-based technology platform. The DecisionReady platform module helps servicers manage vendor relationships that are critical to all aspects of default servicing. Here’s how it works:
The latest enhancements to DecisionReady’s compliance technology address many of the weaknesses cited by federal regulators in the Interagency Review of Foreclosure Policies and Practices, the result of the regulators’ on-site reviews of foreclosure processing at 14 federally regulated mortgage servicers during the fourth quarter of 2010. In their reviews, federal regulators found that industry-wide, servicers generally did not properly structure, carefully conduct, or prudently manage their third-party vendor relationships with outside law firms and other third-party foreclosure services providers. The failure to effectively manage third-party vendors resulted in increased reputational, legal, and financial risks to the servicers, the regulators found.
The DecisionReady technology module implements a systemic approach for servicers to implement the regulator’s recommendations for better managing vendors. The approach delivers effective controls and oversight of the weaknesses found by regulators, including those associated with foreclosure attorney vendor management, one of the chief weaknesses identified.
“Today’s mortgage servicers need to conduct ongoing evaluations of vendors using score cards. The newly launched vendor compliance management module allows servicers to review vendor activity and objectively score the vendor on accuracy, service level agreements, and process conformance”, says Matt Lichtner, DecisionReady’s executive vice president of sales & client relations. “It also helps servicers select vendors based on past vendor performance, rather than relying on a subjective vendor selection process.”
The new module focuses on reviews of foreclosure and bankruptcy attorneys, as well as eviction processes. Future vendor compliance modules will include asset management, short-sale transaction coordination, field inspections, and other third party outsourced services.
The vendor compliance management module provides a framework for objective vendor selection, addresses key consent order focus areas, and allows representative sampling. The module quantifies results with scorecards customized for each vendor type and client. The result is unbiased and objective vendor selection and referral management.
DecisionReady technology allows servicers to specify bank policies, investor guidelines, as well as state and federal requirements, in one centralized location. The rules are automatically enforced on each loan processed on the technology platform.
“Our compliance suite has multiple modules that support specific default servicing processes, ensuring adherence to bank policies and guidelines,” says Tom Schmidt, DecisionReady’s chief financial officer. “In combination, the modules ensure that a robust, compliant and auditable end-to-to end default servicing process was followed. Multiple roles are supported to allow the servicer to perform quality control and internal audits to review the activity on loans,” Schmidt says.
The maintenance of the rules and the underlying decisions can be administered through a web-based interface. The Queue Management and Workflow tools, which allow the client to manage the operational aspects such as associate productivity, work prioritization and escalation processes, are also web-based and can be controlled in real-time.
“These are challenging times for servicers, and it’s only going to get more challenging if they cannot count on technology to ensure process compliance,” Schmidt adds.
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.
Solve All Your UAD Issues
By Tony Garritano
I hear that UAD is causing lenders headaches. Getting appraisals into the required format is proving to be challenging. So, who is to blame? The appraiser? The AMC? The technology vendor? Well, ultimately the lender is going to get fined so the buck stops with the lender. Fortunately, PROGRESS in Lending has learned of a very innovative solution to clear up any issues associated with UAD. a la mode, inc. has launched its “UAD Reader” product. UADReader is a free desktop tool which allows anyone to open, view, error-check, and manage appraisals in the new “UAD” MISMO 2.6 XML format. It works with any UAD-formatted appraisal, regardless of which software was originally used to create the report. Here’s how all your UAD problems are solved:
UAD (Uniform Appraisal Dataset) is the appraisal format designed and required by Fannie Mae and Freddie Mac, and adopted by FHA as well. All GSE-destined appraisals as of September 1st, 2011 must be in strict UAD format. FHA has announced it will require UAD after January 1st, 2012.
The UAD specification standardizes both the technical XML file structure as well as the particular words, number formats, and abbreviations that appraisers are allowed to use in the report. Some industry members will find UAD appraisals to be hard to read and understand as a result of the new terminology, but first they have to be able to view the reports on screen at all, which is harder than it seems.
The problem is basic and unavoidable, as Dustin Moore, president of a la mode’s Real Estate Solutions Division explained. “Appraisals are now delivered as ‘.XML’ files, not as ‘.PDF’ files, so anyone in the entire workflow chain will start encountering documents they can’t open, or which look like gibberish on screen,” said Moore. “UAD Reader solves that problem, plus others.”
With a la mode’s UAD Reader, anyone double-clicking a UAD XML file gets the embedded PDF on screen just as they’re used to seeing, along with a variety of appraisal document review and management features. It not only allows the user to save the PDF out separately, it also shows the XML appraisal data in a handy visual “split screen” mode.
Beyond the visual display of the appraisal, the UAD Reader also verifies that the appraisal file passes the GSE’s tightly defined rules. Any errors flagged are hyperlinked to the actual GSE descriptions of what the form field should contain, and the offending data is also clearly highlighted on the form. For lenders or AMCs, this makes it easy to request revisions from the appraiser. For the appraiser, it allows errors to be caught before sending to the client in the first place.
With an appraisal on screen, several different UAD Reader communications tools streamline the client delivery process. Lender staff, as well as any real estate agents who encounter UAD files, are given a convenient “Send to Borrower” e-mail function which not only provides proof of receipt to comply with Dodd-Frank timely disclosure rules, but also includes a “How to Read This Appraisal” guide explaining the abbreviations, formats, and conventions of the UAD report. The delivery also ensures GLBA compliance by not attaching the files directly to the email. Borrowers follow a coded link, providing both security and an audit trail.
Due to a la mode’s direct integration with the GSEs’ Uniform Collateral Data Portal, or UCDP, lenders and AMCs can also submit the UAD appraisal report to UCDP from within the UAD Reader. The report is automatically pre-checked for any UAD rules compliance before it leaves the UAD Reader. Careless mistakes such as accidentally submitting the wrong XML file are also eliminated since the report is clearly displayed on screen at the time.
For appraisers, the same functions allow them to send the report to any lender or AMC using a la mode’s free DataCourier service, regardless of the brand of software used to create the report. DataCourier sends the client a GLBA-compliant email, provides access to the XML and PDF, and also routes the client to the links for convenient installation of UAD Reader itself.
By having UAD Reader at both ends, appraisers and their business partners can quickly discuss any issues while seeing the exact same XML data on screen. Since the XML data is checked by the GSEs for compliance errors, the content of the XML itself is not a tangential issue. Quickly drilling down visually to particular XML fields is a critical time-saver.
UAD Reader runs on any modern Windows PC, but also taps into the power of a la mode’s massive Mercury Network cloud-based appraisal management and review infrastructure. UAD Reader is a free download, available now at www.alamode.com/UADReader.
Pretty innovative stuff. At ENGASGE 2011 a la mode and a host of other innovators will give you tips on how to originate quality loans, so don’t miss it. RSVP HERE
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.
Search Out Quality
By Tony Garritano
It used to be about volume. Every lender was just about doing as many loans as possible. But that has changed a bit. Today it’s about doing quality loans even if you do less loans. To this end, technology vendors are offering solutions to help lemnders in their search for quality. For example, Interthinx has launched its Quality Control (QC) Review Services. The service from Interthinx combines proven automated technologies with deep, loan-level audit expertise. The Interthinx approach to QC file reviews is designed to ensure compliance and mitigate risk for lenders and investors by using only certified professionals.
The staff for Interthinx QC Review services includes:
>> certified fraud examiners
>> certified mortgage bankers
>> compliance lawyers
>> certified appraisers
This timely offering enables the industry to respond to market fluctuations and staffing needs without the costs associated with recruiting, hiring, and training.
“A quality control system of the highest caliber must be made available to the ailing mortgage markets,” said Kevin Coop, president of Interthinx. “Business-as-usual in regard to QC file review will not suffice. Issues creating tremendous anxiety for lenders include lack of compliance expertise, underperforming QC, risk of repurchase, and resource constraints. Clients who leverage Interthinx QC Review Services can alleviate administrative burdens while experiencing efficient and cost-effective outsourcing of scalable and customizable staffing resources.Capacity is ensured without sacrificing control or quality.”
Speaking of quality, let’s talk about how to improve the mortgage industry overall, Attend ENGAGE 2011 while you’re at the MBA Annual. RSVP HERE.
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.
Integrations That Make Sense
By Tony Garritano
Lenders face a lot of challenges. As a result, technology vendors should and are stepping up. One way that you see vendors assisting lenders is through tight integrations. Even those vendors that say they are all-in-one or end-to-end have integrations that make sense for their lender clients, that’s just common sense. For example, PROGRESS in Lending has learned that ISGN Corp. (ISGN) now offers a direct connection to United Guaranty Residential Insurance Company/United Guaranty Mortgage Indemnity Company (United Guaranty) through the MORvision Plug-In Partner Network. Lenders using ISGN’s MORvision loan origination system can now get upfront quotes, order mortgage insurance and receive MI certifications from United Guaranty without having to leave their MORvision systems. Here’s how it works:
The MORvision Plug-In Partner Network is a collection of dozens of third-party providers that has been seamlessly integrated with MORvision, ISGN’s end-to-end loan origination system.
Prior to this direct connect upgrade, United Guaranty had a basic MORvision plug-in. Access was limited to Performance Premium customers who had to exit their MORvision systems and log into the United Guaranty website to request quotes and order mortgage insurance. Now with the new direct connect plug-in, Performance Premium lender customers can order and receive mortgage insurance rate quotes—including a PDF of the quote—and MI certificates without leaving their MORvision systems. Pertinent information is automatically transferred, eliminating the need to re-enter rate quote data outside the LOS, saving lenders time and money.
MORvision users now have a custom-designed screen where they can not only submit MI data directly to United Guaranty, but also receive MI rate quotes and MI certificate attachments, which are auto-populated into the appropriate MORvision loan files. The United Guaranty submission screen uses the MISMO standard mortgage insurance format and offers an intuitive streamlined user interface that requires fewer clicks than when ordering from the website. This customized submission system has been built directly into MORvision.
“This plug-in allows lenders to order mortgage insurance quotes from United Guaranty, right upfront and early on in the process—that’s a major factor when it comes to complying with the regulations for upfront fee disclosures,” said Ankush Dham, director of technology products and services at ISGN. “Lenders can know right away how much mortgage insurance is going to cost. In addition to helping lenders stay compliant, this information allows lenders to keep borrowers better informed and well prepared, which in turn helps originators build credibility and cultivate long-term, trusted relationships. It’s really a win-win tool.”
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.
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