The American Land Title Association has created assessment procedures to help mortgage originators to determine if a title professional meets the seven pillars of its best practices statement. Version 2.0 of the best practices for title and closing agents came out on July 19. The trade group has also created a certification package around agents carrying out those best practices.
Frank Pellegrini, ALTA’s president, said in a press release that mortgage originators are under regulatory pressure to make certain that their third party service providers are in compliance. The Consumer Financial Protection Bureau has said originators will be held accountable for the actions of their vendors.
ALTA CEO Michelle Korsmo added the assessment procedures are designed to be an objective and uniform tool for originators to evaluate agents.
The press release added that the updated version of the best practices statement results from conversations with agents, underwriters, lenders, regulators and other stake holders. Language across the pillars was modified to make it clearer and more consistent.