Mortgage technology

First American Loan Production Solutions, Dallas, has announced the expansion of its borrower identification data and workout options to create a complete loan modification system designed to help servicers prevent foreclosures. The new offering combines credit scoring, valuation services, risk modeling, scoring, document preparation, and document recording to identify borrowers who are most at risk of foreclosure, the company said. Borrower refinance and workout options are then presented, and documents needed to complete the loan modification process may be created. "First American is bringing a single, complete loan modification cycle solution to servicers that will enable them to meet their bulging workloads by working out as many loans as possible," said Randy Gilster, president of First American LPS. The system enables servicers to actively monitor their portfolio and pinpoint loans at risk of foreclosure so pre-emptive loss mitigation steps can be taken. First American can be found online at http://www.firstam.com.

SigniaDocs, a Houston-based provider of electronic mortgage services, has announced a new service aimed at protecting lenders against claims of improper disclosure processes. The service, called eSign eNsure, enforces compliant disclosure and closing practices by warranting the good-faith estimate, the truth-in-lending statement, and annual percentage rate calculations via the creation of electronic date-and-time stamps in key disclosure areas, signifying borrower understanding and acceptance of the loan conditions. Developed in collaboration with Shanks Darby PC, a Houston-based law firm specializing in commercial and residential real estate law, eSign eNsure creates a legal representation and warranty around electronic loan document disclosures. "Electronic initials can be placed anywhere on the document that you want to direct the borrower's attention," said Tim Anderson, president of SigniaDocs. "You can require electronic initialing in those areas of the documents where you want to show electronic evidence of borrower proof of understanding and intent." The company can be found online at http://www.signiadocs.com.

Savvis Inc., a provider of IT infrastructure services based in the St. Louis area, has announced an agreement with mortgage industry software provider Ellie Mae, Pleasanton, Calif. Under the agreement, Ellie Mae will relocate and consolidate its U.S.-based information technology infrastructure into two Savvis data centers in Santa Clara, Calif., and Chicago. This will enable Ellie Mae to deploy its Web-based business services, including its Encompass Mortgage Management Solution, with greater efficiency and at a lower cost, Savvis said. "Savvis' global IT services platform has allowed us to consolidate and simplify our infrastructure by providing us with a streamlined and unified environment that not only synchronizes data more efficiently, but also offers a more consistent operation," said Jonathan Corr, chief strategy officer of Ellie Mae. The companies can be found online at http://www.savvis.net and http://www.elliemae.com.

Former Mortgage Cadence CEO and mortgage technology veteran Michael Hammond has started a new consulting firm called NexLevel Advisors. NexLevel Advisors, a strategic business advisory firm, will assist in helping clients create new opportunities and executable business strategies. "We add value through strategic advice specific to your company," Mr. Hammond said. "We deliver customized differentiation in the marketplace for your organization while producing measurable results. What this means for your business is that you get customized programs quicker and more strategically than you could on your own." The company can be found on the Web at http://www.nexleveladvisors.com.

San Jose, Calif.-based Calyx Software has expanded the Calyx Network with a new network interface update. The July Calyx Network Interface update contains a new connection to five additional mortgage service providers. The Calyx Network allows users of Calyx Software's Point loan origination software to connect directly with lenders and mortgage service providers, automating data exchange and streamlining the loan origination process. The following mortgage service providers have joined The Calyx Network: RealEC Technologies, SearchMyLoan.com Inc., Mortgage Connect LP, LOAlert.com and Equifax Web Services. Updates are automatically installed into Calyx Point, and new providers are added to the application on a bi-monthly basis. The Calyx Network Interface update is automatically installed into Point versions 5.2 and higher when users open their software and connect to the Internet. The company can be found on the Web at http://www.calyxsoftware.com.

Cogent Road, San Diego, Calif., has launched an automated tool for detecting if a credit score has been artificially inflated due to questionable or untrustworthy "authorized user" accounts within the borrower's profile. This process is known as "piggybacking," because the borrower's credit score "piggybacks" on the seasoning and payment history of the actual card holder. The tool is available free of charge to Cogent Road's existing Funding Suite clients. The application examines credit reports to detect the probability that a borrower's credit score is being artificially manipulated based on a different individual's payment history. Using a series of comparative algorithms, this detection tool analyzes the borrower's credit profile as a whole to detect whether or not authorized user tradelines are consistent with his or her historical payment pattern. This tool can also differentiate the bona fide authorized user relations that occur in joint credit applications, however it does identify if the spouse's credit score is influenced by authorized user accounts. The company can be found on the Web at http://www.cogentroad.com.

Lydian Data Services, Boca Raton, Fla., has established Lydian Data Government Services, a new fully integrated subsidiary to provide mortgage processing, closing, post-closing and quality control services for FHA and VA loans. This rapidly expanding sector of mortgage lending has been hampered by a lack of expertise in processing government loans, leading to long delays in loan approvals and fundings. The new subsidiary will also offer consulting services to help originators become approved by the Federal Housing Administration, and training services to help lenders familiarize their Realtors, loan officers and brokers with government lending programs. Lydian Data Government Services is based in the greater Philadelphia area, selected for its proximity to one of the country's largest FHA homeownership centers and the depth of its government lending labor pool. The Government Accounting Office expects FHA to fund 10% of home purchases in 2008 and 15% in 2009, continuing to levels not seen in over a decade, which is why Lydian has launched this new subsidiary to help lenders automate the process.

Enterprise content management vendor Hyland Software, Cleveland, has acquired Liberty Information Management Systems to expand its market presence. The transaction was private, and terms of the agreement were not disclosed. Hyland said the acquisition will enable it to add more than 1,000 Liberty IMS client organizations to its base of 7,200 customers and extend its reseller channel base with an established network of Liberty IMS channel partners, who possess expertise in selling and supporting document imaging, COLD/ERM, and workflow systems to organizations in Hyland's target vertical markets. The company also said the move would broaden its presence in the western United States and central Canada by maintaining Liberty IMS's offices and an existing team of experienced ECM professionals in Costa Mesa, Calif., and Ottawa, Ontario. Moreover, as a heavily channel-focused organization, Liberty IMS brings to Hyland an established network of channel partners. Hyland can be found on the Web at http://www.onbase.com.

Reverse Mortgage Solutions, Houston, has reported the completion of a $25 million Ginnie Mae fixed-rate home equity conversion mortgage-backed securitization on which it served as issuer, servicer, and master servicer. Bob Yeary, chief executive officer of RMS, told MortgageWire that Ginnie Mae has identified the transaction as the first reverse MBS on which a single company has taken on all three of the aforementioned roles, something the Houston-based firm's automation helped it to do. World Alliance Financial, the Melville, N.Y.-based affiliate of KBC Bank, Brussels, originated the reverse mortgages in the transaction, Mr. Yeary said.

MicroBilt Corp., Kennesaw, Ga., and Annapolis, Md.-based PRBC have announced a planned merger of payment data to help small to medium-size companies do more business with consumers who have thin credit histories. The data will be merged in PRBC's data repository, and MicroBilt will make an equity investment in PRBC under the arrangement. The companies said the credit crunch is forcing smaller businesses to be very cautious in originating new loans, making it "more difficult than ever" for consumers with thin (or no) established credit histories to qualify for competitive rates. "PRBC has done a tremendous job in developing methods and systems of aggregating nonreported bill payment data to help consumers demonstrate good payment track records and qualify for credit at competitive rates," said MicroBilt chairman Bob Raleigh. "By combining PRBC's data with the trade line data reported to MicroBilt by thousands of smaller companies, we can help this large sector build credit histories and receive FICO Expansion scores much faster, and in turn [enable] businesses to grant more credit with less risk." The companies can be found online at http://www.microbilt.com and http://www.prbc.com.

ForeclosurePoint, Bellevue, Wash., has announced the nationwide launch of ForeclosurePoint.com, which it calls the only national foreclosure marketplace offering free access to full street addresses of more than 1.2 million foreclosure properties in the United States. Other foreclosure websites make users pay to see data that ForeclosurePoint.com provides free, the company said. "Below-market deals are virtually everywhere, but consumers still have a difficult time accessing the market," said Prakash Kondepudi, the company's president and chief executive officer. "Until today, investors, homebuyers, and real estate professionals had to pay to see even basic information about potential foreclosure opportunities." The company, based in the Seattle area, can be found on the Web at http://www.foreclosurepoint.com.

Citing a desire to help the mortgage industry combat fraud, Agoura Hills, Calif.-based Interthinx Inc. has announced its integration with MERS, the electronic registry for tracking ownership of mortgage loans and servicing rights. Data from MERS will be integrated into Interthinx's FraudGuard scoring system to detect undisclosed properties, reveal investors claiming owner occupancy, and uncover recently closed loans that could indicate a borrower's intent to commit mortgage fraud. The new feature allows FraudGuard users to automatically access the MERS database of registered real estate transactions to conduct automated searches (during the FraudGuard scoring process) for potential fraud before funding a loan. Interthinx is a provider of risk mitigation, mortgage fraud prevention, and regulatory compliance tools. The companies can be found on the Web at http://www.iterthinx.com and http://www.mersinc.org.

AllRegs, a publisher of guidelines for the mortgage industry based in Eagan, Minn., has announced the release of three new online Practical Guides focused on mortgage servicing. The titles include Escrow Analysis, FHA Foreclosure, and Mortgage Servicing. Dan Thoms, senior vice president of AllRegs, said the guides "target issues of specific concern to today's mortgage servicing professionals." Practical Guides are searchable online instruction manuals for a given topic that use the AllRegs search engine with direct links to online regulations. The company can be found on the Web at http://www.allregs.com.

Wells Fargo Funding has announced the addition of two new vendors, SigniaDocs and Wave Systems, to its list of approved vendors capable of delivering the second-largest originator of electronic documents on behalf of lender clients. Wells is one of the first major lenders in the country to support a legally compliant process to accept a full initial disclosure package electronically from its sellers. It is also one of the first to ensure open standards and authorize correspondents to use any of the multiple vendors that pass Wells Fargo's review process to ensure a high level of security and an audit trail of the transaction showing borrower intent. Wells Fargo said its correspondents can now elect to use Wave's SmartSigning Room and SmartSignature applications to streamline e-disclosures and upfront documents to help secure customer commitment early in the lending process. Similarly, SigniaDocs offers Wells correspondents a private-label Web service requiring no initial start-up or ongoing hardware and software maintenance costs. The companies can be found on the Web at http://www.wellsfargo.com, http://www.signiadocs.com, and http://www.wave.com.

Radian Guaranty, the Philadelphia-based primary mortgage insurance subsidiary of Radian Group, has introduced enhanced functionality to its MI Online Web-based system for mortgage insurance ordering, servicing, and claims submissions. Designed to streamline the claims process and improve the online experience, the enhancements allow clients to view claims around the clock, review documentation requirements, access a more detailed explanation of benefits, and obtain real-time information on payment status, the company said. The new features include a Claim Status Information section that allows clients to review a snapshot of a claim's details, including processing status, and a Claim Payment Information section that displays three key pieces of data for paid claims (claim payment, date paid, and payee) and a new hyperlink to the main Certificate Inquiry screen. The system can be found online at https://mionline.radianmi.com.

Freddie Mac has announced the renewal of an alliance agreement with the Credit Union National Association. The alliance provides participating credit unions with a comprehensive set of technological services, mortgage products, and correspondent lending, such as Freddie Mac's borrower outreach initiatives, according to the government-sponsored enterprise. "With the current economic climate, this renewed alliance ensures that credit unions will continue to have options to succeed in the mortgage lending market, including affordable lending solutions to meet the needs of low- to moderate-income borrowers," said Wes Millar, senior vice president of CUNA Strategic Services. The alliance provides expanding execution and mortgage product options; customized learning opportunities, such as assistance and training on low-downpayment mortgages; and technological advantages such as Freddie Mac's Loan Prospector automated underwriting service and a business-to-consumer website for online mortgage lending. Freddie can be found online at http://www.freddiemac.com.

Mortgage Builder Software, Southfield, Mich., has announced the creation of a western division for the sales of its products. The company has hired Kelli Himebaugh to manage sales in the new division. Ms. Himebaugh joined Milwaukee-based Guaranty Bank's home equity company in 2003, where she served as the sales manager for California, Arizona, and New Mexico. She later started the lender's correspondent division and ran the Pacific region until 2007. "We're having a great year despite the slower market," said Wendy Bennetts, Mortgage Builder's director of marketing and business development. "We opened the Southeast division last year and we anticipate opening another region later this year in response to the increased demand we're experiencing." The company can be found on the Web at http://www.mortgagebuilder.com.

Fiserv Inc., Brookfield, Wis., has released "pre-emptive mortgage default resources" that enable financial institutions to identify and contact troubled borrowers with customized repayment options. The resources, Predictive Risk Index Score Modeling and Home Retention Solutions, focus on helping financial institutions forecast delinquencies before defaults occur and provide expanded customer care to offer refinancing and negotiate workable resolutions. The PRISM analysis classifies at-risk assets into tiers, taking into consideration many data points, including the Fiserv Case Shiller Home Price Index, loan servicing data, risk grade and credit, collateral, and overall risk scores. After an analysis is complete, financial institutions may decide to have Fiserv perform more detailed loan-level risk analyses on identified accounts. This process requires no additional information from the financial institution and leverages the use of the PRISM data along with automated valuation models and other sources, the company said. Fiserv default management experts then review the findings and recommend steps financial institutions can take to mitigate loss and help borrowers remain in their homes. The company can be found on the Web at http://www.fiserv.com.

RealtyTrac, an online marketplace for foreclosure properties, has announced a partnership with Bid4Homes, an online auction site specializing in distressed property, that enables RealtyTrac users to research and bid on a variety of online real estate auctions nationwide. RealtyTrac said the Bid4Homes proprietary Web-based applications and patented deposit system make it easy for real estate brokers, agents, real-estate-owned asset managers, and private sellers to list homes for auction on RealtyTrac. In addition to bank-owned properties and properties from private sellers, the Silver Spring, Md.-based Bid4Homes offers forfeited properties from the U.S. Marshals Service, seized properties from the Department of the Treasury, and tax-foreclosed properties from more than 50 counties nationwide. "Our users will now be able place online bids on properties being auctioned by Bid4Homes while never leaving the RealtyTrac website," said Rick Sharga, vice president of marketing at the Irvine, Calif.-based RealtyTrac. The companies can be found online at http://www.realtytrac.com and http://www.bid4homes.com.

Del Mar DataTrac, San Diego, has expanded its open-platform approach and is now integrating with providers in the product and pricing eligibility and automated underwriting space. The company said it has decided to discontinue its PPE system, PriceTrac. The underlying technology for PriceTrac was provided by Merit Matrix (a company recently acquired by AllRegs) and Mortech. Del Mar DataTrac clients who were subscribing to PriceTrac are now working directly with Mortech, Del Mar said. In addition to working with AllRegs and Mortech, Del Mar DataTrac now has development agreements with several PPE system providers, including Optimal Blue, NYLX, and Sollen Technologies. For those clients seeking a PPE coupled with a comprehensive automated underwriting system, development agreements have been executed with Loan-Score Decisioning Systems and PriceMyLoan. Del Mar can be found on the Web at http://www.delmardb.com.