Compliance Rules Engine with Optimal Outcome Decisions
It’s the word on the forefront of every servicer’s mind: compliance. But what does compliance really mean? Equator’s® Loan Management product was designed to address this issue head-on, by tracking and applying all required rules on every loan in your portfolio.
Loan Management controls critical decisions and calculations at a portfolio and investor level. Critical decisions such as NPV calculations, investor approval, program eligibility, optimal outcome, and dual tracking are included, driving consistency through centralization. Unified controls for vendor and agent assignment, CFPB compliance, and valuations enhance compliance throughout the loss mitigation process.
Loan Management is the first step for any loan entering the EQ Platform. Upon loading, each loan is immediately checked for compliance requirements from private investors, mortgage insurers, GSEs, and internal stakeholders. It is then checked for government agency requirements such as VA or FHA, and finally against regulatory guidelines from CFPB, OCC, state governments and additional regulatory bodies. Once all rules have been identified for the loan, the product begins applying them based on numerous criteria including lien position, loan type, property value, geography, and client-specific configurations. After rules have been applied, the product creates an EQSnapshot, which memorializes the data set and all applied rules. EQMarketplace connectivity is included to automate the order and receipt of vendor products, reducing unnecessary costs.
After rules have been applied, the loan is ready to have a loss mitigation strategy assigned. The loss mitigation decision process utilizes a waterfall methodology that begins by examining property, investor, geographic, market, and other data. Loan Management then reviews eligible programs, selecting the most appropriate loss mitigation strategy and program. Once the strategy and program are selected, another EQSnapshot is created. The post-decision Snapshot not only includes all data and rules, but also explanations for why other strategies and programs were not chosen. The loan is then automatically routed to the appropriate loss mitigation team, while being continuously monitored throughout servicing to ensure dual-tracking rules are enforced per regulation, and strategy selection remains valid. The combination of EQSnapshot and real-time monitoring provide unmatched compliance assurance and audit defense.
Loan Management is powered by Equator’s® next generation enterprise rules engine. The rules engine is fully configurable by servicers, making regulatory or business process changes quick and easy to implement. This rules engine - the basis for Equator’s® other products – is fully compatible with legacy data, making migrating loans from legacy products quick and painless. Best of all, Loan Management comes pre-configured with our best practice solutions, based on millions of decisions and years of industry-leading experience.
- Increased compliance
- Consistent decisions
- Clear communication with borrower
- Reduced FTE requirements
- Reduced timelines
For more information on this product, please contact Business Development