Roundup: Fiserv Looks to Expand MortgageServ's Range

Fiserv Lending Solutions is looking to take its MortgageServ loan servicing system to the next level by enabling it to support loans that are not solely real estate-related.

The system currently enables servicing of first and second mortgages, home-equity lines of credit and home-equity loans on a single platform. Distressed loans can also be managed on the same platform.

Tom Gorman, a Fiserv president based in South Bend, Ind., told MSN that they are seeing "significant growth" on the home-equity side, doubling the number of home-equity lines of credit supported on the system.

He credits this to industry dynamics, such as prime lenders seeing an opportunity in the nonprime marketplace and entering this niche either through acquisition or by initiating new product lines.

As well, nonprime lenders are entering into the prime arena and there are those that are getting into private label subservicing.

Last September, Fiserv enhanced the system by enabling real-time credit-card transaction management for HELOCs on this system.

Going forward, additional enhancements being planned include the incorporation of rules relative to over-the-limit advances.

For instance, in the case of prime customers, the system rules could be customized to decide how much of a grace period to grant them if they are over their credit line.

And for other customers, the system could decide not to advance any further funds beyond their HELOC limit, based on their rating.

As for further enhancements, Mr. Gorman said, "How we're carrying this even further is investing in the functionality so that on a single platform customers will be able to support their direct and indirect consumer loans as well. Those loans may be unsecured, they may be secured by collateral other than real estate."

He expects all these additional functionalities to be in place by the end of 2007.

Del Mar Pushes E-Docs

San Diego-On the heels of Freddie Mac publishing its electronic mortgage standards, Del Mar Database is moving to make it easier for its clients to electronically deliver docs to investors.

Del Mar released an imaging module last year called DocumentTrac and a point-of-sale module this year called InTrac that makes it possible for users to image documents from the point-of-sale and push them into Del Mar's signature product DataTrac, to electronically deliver files directly to investors.

"Our imaged file delivery is certified by Countrywide, Chase and Thornburg," said Del Mar president John Walsh. "This year we will have electronic delivery to a half dozen major investors. Any place where we can create a seamless integration to another third party, i.e., a service provider or investor, we will do it."

How do you decide which investors to link to? "It's predicated on the investors that our clients use most often," answered Mr. Walsh. "However, it also depends on how advanced the investor is."

While e-delivery is a huge pickup for lenders, Del Mar functionality doesn't goes as far as SMART Docs at this time, said Mr. Walsh. "Right now, it is an imaged file and an electronic data stream from within DataTrac."

"A SMART Doc is the next step," he said. "Some lenders will do SMART Docs this year, but for our lenders the issue will be when the investors accept SMART Docs. I'd like to see that this year but I'm not optimistic.

"Everything we do is based on what our customers ask for," said Mr. Walsh. "Delivering hard copy is time consuming, burdensome, results in delayed purchases, etc."

New Regs Highlight Fraud

Waltham, MA-Record-setting mortgage securitization volume, coupled with new SEC regulations that put additional emphasis on due diligence, will force lenders and servicers to step up fraud detection and prevention efforts, according to Pro-Teck Services.

Pro-Teck, a collateral risk specialist, is providing two new verification services to help lenders assess the validity of loan documents. The property type and occupancy verification services have been built to deliver a fast, low-cost outsource solution, the company said.

Pro-Teck counts firms such as ABN Amro, Goldman Sachs, Washington Mutual, Morgan Stanley and PHH among its clients. ABN Amro's wholesale division, InterFirst, identified the potential for misrepresentation of property type and occupancy on its broker-originated loans. That problem came to light when ABN Amro had to repurchase a loan that had been misrepresented as owner occupied, single family, when in fact it was a multitenant-occupied property.

Founded in 1977, Pro-Teck provides a full range of collateral valuation services to the mortgage industry, including retail mortgage banks, mortgage service companies, secondary market issuers and investors. Automated fraud scoring, automated valuation models, inspections, broker price opinions, desktop reviews and appraisals are among the company's services.

Ingeo Adds a County

Logan, UT-Ingeo Systems here, a provider of electronic recording technology, has expanded its reach to include Winnebago County, Wis.

In a press release from Ingeo, Winnebago County's register of deeds, Julie Pagel, said the technology is eliminating paper from the recording process, improving customer service and posting significant cost savings in time and money.

"My office is committed to continuous improvement in our systems and we are very pleased to have found the most technologically advanced document-processing solution with Ingeo eRecord," she said.

Winnebago County is the 10th Wisconsin county to implement eRecord, a service that enables the county recording office to accept electronic real estate documents for official recording.

Ingeo worked with Fidlar Software to integrate Ingeo eRecord with Fidlar's iDocument XF system.

Ofori to Use MSP

Jacksonville, FL-Ofori Lender Services has signed a multiyear contract to service its 5,000 mortgage loans on Fidelity's Mortgage Servicing Package.

Ofori, based in Washington, primarily services Ginnie Mae manufactured housing loans. As a result, the company must comply with strict reporting requirements. Fidelity said it supports Ginnie Mae's reporting requirements, and MSP is supported by experts who understand the Ginnie Mae reporting standards.

Hugh Harris, president of the Financial Services Technology Solutions division of Fidelity, said the company is proud to establish a relationship with Ofori.

"MSP is a superior system that supports the needs of all sizes of mortgage companies," he said.