Technology

At the MBA Tech Show, Fannie Mae has contributed a new patent to MISMO under the MISMO Intellectual Rights Policy so that it may be used by the industry on a royalty-free basis. The SMART Doc specification was originally licensed to MISMO in 2002 by Fannie Mae. This new patent defines processes for validating the view and data sections of a SMART Doc with automated systems. The process enables true "lights-out" post closing and certification.

Newport Beach, Calif.-based DRI Management Systems has planned to launch RINCON, a Web-enabled default management application. At the MBA Tech Show DRI talked about how RINCON helps servicers better manage defaults by using Web services to offer easy deployment, a more robust workflow, letters, forms and spreadsheets embedded in the workflow, automated connection between third parties, an exception-based setup to allow for a more automated process and an upgraded loss mitigation decisioning model. This Web-enabled version of the company's The Default Solution product will be available in early 2009.

Lydian has integrated with NYLX to help lenders increase overall loan quality. The partnership connects Lydian Data Services and Lydian Technology Group's clients with NYLX's point-of-sale technology, equipping clients with a front-end solution that offers real-time pricing and product selection, as well as customer-facing Web portals. On the other end, NYLX customers now connect to Lydian's Mortgage Connectivity Hub to seamlessly connect to lending platforms, package loans for processing or delivery to a wholesaler, and leverage Lydian's BPO capabilities. The partnership also offers a two-way data exchange to allow for more efficient integration and e-collaboration. The deal was forged at the MBA Technology Show.

Rapid Reporting's DirectCheck product will be providing instant verification of Social Security numbers direct from the Social Security Administration for the first time in the mortgage industry. By adding immediate Social Security number verification to the other real-time components of DirectCheck, the industry now has a stronger, better way to reduce fraud at origination, noted Rapid Reporting at the MBA Technology Show in Dallas. The application's users get instant delivery by just entering the borrower's name, Social Security number and date of birth. This coincides with the SSA's new real-time program to begin in October that will allow for the seamless transfer of data back via an XML Web service interface.

Stewart has launched TouchSign technology, which converts the traditional closing table from pen and paper to digital documents and touch screens. The Touch-to-Close system will begin deploying through Stewart's network of offices and agencies this month. Stewart's TouchSign solution allows consumers to perform the real estate closing by the touching of a finger to the computer screen in compliance with applicable regulations. Consumers are able to navigate through their closing documents by tapping the TouchSign screens to provide their consent and signature for closing documents. The TouchSign kiosk is designed to work with Stewart's eClosingRoom technology. The company can be found on the Web at http://www.stewart.com.

Integra Software Systems, Franklin, Tenn., has announced that it will integrate with Compliance Systems Inc.'s IntelleDoc Solutions to provide a single source for document preparation and compliance services. Integra's recent entry into the commercial and consumer lending space created the requirement to provide a single source for its lender clients to prepare docs. One of the advantages of CSi's technology is the ability to map data fields to a single schema. CSi IntelleDoc Solutions include a line of software compliance components incorporating static and dynamic document libraries, automated document selection, customized disclosures, a document customization tool, and compliance support for all states and all types of lending transactions. The companies can be found online at http://www.integra-online.com and http://www.compliancesystems.com.

While it has always been difficult to get a handle on the size of the mortgage fraud problem, a new report by a leading provider of fraud detection products indicates that the incidence of the crime may be much greater than anyone thinks. Analysts at Interthinx, Agoura Hills, Calif., say they found more than 42,000 mortgage applications in the second half of last year that contained significant misrepresentations of the borrowers' incomes. In total, the loans were worth nearly $11 billion. "I have no idea how many of the loans were funded, but I hope none of them," Ann Fulmer, the company's vice president of industry relations, said at the Mortgage Bankers Association's National Fraud Issues Conference in Chicago, where the six-month analysis was released. The questionable loans were discovered by Interthinx' income alert program, which warns clients that a borrower has submitted multiple loan applications and his income has jumped by at least 15% over a prescribed period. "Fraud is like water -- it always seeks the lowest level," Ms. Fulmer said. "That's why it is finding ways around the barriers lenders set up to uncover them." The company can be found on the Web at http://www.interthinx.com.

After 20 years with what is now Wolters Kluwer Financial Services, Roger Gudobba has joined Compliance Systems Inc., Grand Rapids, Mich., as the company's chief strategy officer. Mr. Gudobba was most recently a senior principal with Wolters Kluwer, where he was instrumental in developing and maintaining business relationships. In addition, he was a key contributor to the success of VMP Mortgage Forms, now part of Wolters Kluwer Financial. In 2004, Mr. Gudobba was the recipient of Mortgage Technology magazine's Steve Fraser Award. Compliance Systems, an automated document compliance provider, can be found on the Web at http://www.comliancesystems.com.

First American Credco, a Poway, Calif.-based provider of specialty credit reports to the mortgage and consumer finance industries, has launched Connect Web services technology to enable smoother integrations. Connect provides a secure electronic interface to a wide range of new products available from First American Credco, including identity validation, compliance, and consumer credit solutions. One of the most notable additions available on the Connect interface is the electronic automation of Anthem, First American Credco¹s nontraditional mortgage credit report and scoring system for loan applicants having little or no traditional credit history. The company, which is part of First Advantage Corp., can be found on the Web at http://www.facredco.com.

InsideValuation, a real estate valuation company based in Reno, Nev., has announced a partnership with International Financing Engineering Group, Rockville, Md., that has created a ZIP code-level mortgage default projection. The two companies offer combined access to millions of recent loan histories and "a large quantity" of subprime loan default information, according to InsideValuation. "This product presently allows mortgage risk managers to determine the relative safety of loans based on econometric and demographic variables relating to property location, such as median home price, median household income, affordability, unemployment, and rent-versus-price ratios," the company said. InsideValuation can be found online at http://www.insidevaluation.com.