Technology

ComplianceKeeper.com, Hunt Valley, Md., has announced the release of what it describes as the first online system designed exclusively to help mortgage companies manage state regulatory requirements for licensing and educating mortgage professionals.Users of the new system can "instantly access detailed information on active and pending licenses in the company, including a profile of the individual holding the license and the number, type, and expiration date of the license," the data-tracking technology company said. An interactive desktop screen enables users to view data on the number of licenses that are 30, 60, and 90 days from expiration, and the system sends automatic e-mail alerts to notify customized lists about forthcoming license and education renewal deadlines, ComplianceKeeper.com said. The company can be found online at http://www.compliancekeeper.com.

The Miracle DocPrep platform of MRG Document Technologies, Dallas, is now available through a direct interface with BytePro, the latest version of Byte Software's loan origination system, according to MRG.The interface provides mortgage lenders and brokers with closing documents for prime and subprime loans, home equity lines of credit, option adjustable-rate mortgages, and other lending products, MRG said. When users request loan closing documents through the interface, the data are transferred to MRG and the document packages are prepared and sent back to the user, the company said. "This interface is a tool that enhances the lender's workflow process," said Terry King, group chairman of MRG. "Offering MRG's document preparation services through BytePro enables mortgage lenders to more efficiently request and deliver loan products to their customers." The interface was developed as part of a continuing alliance between MRG and Byte Software, based in Kirkland, Wash. The companies can be found online at http://www.mrgdocs.com and http://www.byte-cbc.com.

PNC Bank, a member of The PNC Financial Services Group Inc., has selected San Mateo, Calif.-based Dorado Corp.'s Dorado Unified Point of Sale as the bank's new wholesale home equity channel.PNC Bank, the nation's 15th-largest home equity lender, is developing a broker network across its consumer banking region. The Dorado Unified Point of Sale application, leveraging Dorado ChannelMaster and PriceMaster, will provide a network-based, on-demand avenue for PNC brokers to originate, price, and submit home equity loans and lines of credit at the point of sale. Dorado can be found on the Web at http://www.dorado.com.

New Century Financial Corp., Irvine, Calif., has announced the adoption of FraudMark, an application by BasePoint Analytics, to supplement the company's mortgage fraud prevention efforts.New Century, a real estate investment trust, said the agreement with BasePoint will allow the REIT to significantly improve its pre-funding fraud detection and prevention and reduce review costs for potentially fraudulent applications. New Century described FraudMark as an application scoring system that "combines the predictive power of loan applicant data with the proven pattern-recognition analytics of BasePoint's fraud modeling technology." BasePoint will also provide fraud consulting services. The companies can be found online at http://www.ncen.com and http://www.basepointanalytics.com.

Bankrate Inc., New York, has announced an agreement to acquire Wescoco LLC (d/b/a FastFind), a San Francisco-based aggregator of Internet leads for mortgages and other financial products, for $10 million in cash.Thomas R. Evans, president and chief executive officer of Bankrate, said the company plans to leverage its Internet traffic to enhance FastFind's lead-generation platform. "The online mortgage industry represents an enormous, emerging, and addressable market," Mr. Evans said. "We believe we are strategically positioned to take advantage of the shift of spending from traditional outlets to the Internet." Bankrate also announced the acquisition of MMIS/Interest.com, a publisher of mortgage guides based in suburban Chicago, for $30 million in cash. Bankrate can be found online at http://www.bankrate.com.

Digital Risk LLC, Dallas, and MortgageFlex Inc., Jacksonville, Fla., have announced an agreement to integrate Digital Risk's Integrity Verification Enterprise system with LoanQuest, the loan origination system from MortgageFlex.The companies said the new application gives MortgageFlex lenders and customers an automated system integrated into their desktop loan processing, providing fast and accurate verification of personal identity, income, occupancy, and collateral information. "As the residential real estate business has expanded in recent years, so have fraudulent attacks on lenders, surpassing the ability of existing tools to defend against them," said Lester Dominick, chairman and founder of MortgageFlex. "This integration will give lenders unique access to fraud prevention and loss mitigation solutions." Features include occupancy and instant income verification, as well as access to existing IRS and Social Security Administration data.

Ellie Mae has timed the 2.8 release of its Encompass loan origination system to incorporate the mandated 2006 version of Fannie Mae's 1003 loan application form.Unveiled at the Western Regional Mortgage Brokers Conference in Las Vegas, the newest version of Encompass features enhancements for new business development, loan processing, electronic document management, and administration. It also includes new prequalification and loan comparison tools, an employment verification service, and a simplified appraisal ordering function. Users can conduct a comprehensive prequal with a single form featuring "easy-to-interpret visual cues" showing whether the borrower is qualified or pending qualification, Ellie Mae said. The 2.8 release is scheduled to be available by the end of November. Ellie Mae received a 2005 Mortgage Technology commendation from Mortgage Technology magazine, a MortgageWire affiliate. The company can be found online at http://www.elliemae.com.

NetBank Inc., an Atlanta-based online bank, has reported a mortgage-related net loss of $1.4 million ($0.03 per share) for the third quarter, compared with net income of $4.0 million ($0.09 per share) a year earlier.NetBank said the results include a pretax provision of $3.5 million related to a group of conforming mortgages with an outstanding balance of $13 million. "The company believes certain misrepresentations may have been made by one or more of the parties involved during the loan application process," NetBank said. Mortgage production totaled $3.8 billion in the third quarter, a rise of 9.0% from that of the second quarter, the company reported. The performance of servicing assets went from a loss of $2.3 million in the second quarter to pretax income of $130,000 in the third quarter "as higher rates and improving valuations for mortgage servicing rights led to prior impairment expense recovery," NetBank said. The company can be found online at http://www.netbank.com.

Preferred Financial Group Inc., a nationwide direct lender with a wholesale channel based in Burlingame, Calif., and Shearson Home Loans, a retail mortgage brokerage based in Las Vegas, have announced a partnership aimed at expanding their loan volume and offering a broader range of services.Shearson said finding a partner that could manage the banking side of the business was a key factor in its decision, while PFG said it was looking for a strong player in the residential mortgage market. "PFG Inc. is committed to technology, with a solid infrastructure that is capable of handling a loan volume of increasing capacity," said Michael Barron, Shearson's chairman and chief executive officer. "As Shearson continues to expand and open new branches, the business partnership with PFG Inc. enables us to grow faster and stronger, while exceeding the expectations of our clients." PFG offers Web-based technology, in-house underwriting, document preparation, funding, and closing processes. Its wholesale channel, WLO, can be found online at http://www.wloconnect.com, and Shearson can be found at http://www.shearsonhomeloans.com.

Mortgage technology veterans Bill Rice and Jeff Bell have launched Kaleidico LLC, Flat Rock, Mich., to help speed the adoption of new technology by offering lenders "appliances" that they say will improve existing systems and processes.The first set of appliances includes icoSales, which automates lead generation and routing and gathers and distributes leads from major Internet providers; icoAsset, which streamlines due diligence, wholesale/correspondent lending, and secondary marketing optimization; and icoDeposit, which makes online deposit gathering and reporting an option for financial institutions of all sizes. (Kaleidico said "ico" is from Latin, meaning "to strike a deal.") "Rather than building costly and time-consuming end-to-end systems, we are offering a series of technology appliances that can be quickly integrated into existing infrastructures for immediate benefits," said Mr. Rice, who held senior credit, risk, and secondary strategic marketing posts at DeepGreen Financial and, more recently, Quicken Loans. Mr. Bell was the chief information officer who led the development of DeepGreen's Web-based home equity lending platform, according to Kaleidico.