CoesterVMS, a national appraisal management company, launched at the Mortgage Bankers Association Technology and Fraud Conference a self-serve online platform that allows lenders to verify compliance with all third-party regulations set forth by the Consumer Financial Protection Bureau every time an appraisal is completed.
The Rockville, Md.-based company’s CFPB Suite, powered using proprietary technology, has the ability to log, file and sort all of CoesterVMS’ compliance-related activities for every third-party regulation from appraiser independence and appraiser selection requirements to mandates for customary and reasonable fees as well as state licensing laws.
Coester customers can access the CFPB Suite to confirm compliance to industry regulations on a per-loan basis. Besides just a yes or no response to its compliance checklist, the CFPB Suite also provides supporting information for each regulation, so lenders know the steps
In April 2012, the CFPB stated that it not only expects lenders to have an effective process for managing the risks of service provider relationships by using due diligence on who they decide to work with, but the federal agency has the ability to obtain reports from lenders and examine them for compliance with any applicable laws.
“Using a third-party service provider can be a lender’s best decision for specialized services like appraisal management, but engaging the wrong provider exposes them to unnecessary risk,” said Brian Coester, CEO of CoesterVMS. “The CFPB Suite allows lenders to find out the actual steps CoesterVMS took to ensure compliance with every CFPB third party regulation that could possibly be considered their responsibility. We’re making that due diligence easy.”
