Verification Services for Mortgage Lending

 

Martin Johnson Heade Apple Blossoms

Verification Services for Mortgage Lending

 

Or a letter to “Sam” to deeper understand my use of acronyms and silly lingo that did not clarify. Complete with list of vendors

 

Mortgage Lenders us Residential Mortgage Credit Reports (RMCR) also called a Tri-Merged report which is more detailed and different than a consumer credit report. A RMCR report often will have lower FICO scores than a consumer report. A RMCR is a long form many pages history of payments, balances, name variations, inquiries, and other details. The RMCR report is collected from sources and sold to mortgage lenders via what I call aggregators. These credit aggregators pull the data from the main three credit cops: Equifax, Experian, and TransUnion plus they add more information. These main three credit cops also sell RMCR’s.

 

Here is a list of commonly used and integrated by secure API to lenders Loan Operating Systems (LOS software):

 

Accurate Financial Services 
ACRAnet, Inc. 
Advantage Credit, Inc. 
Advantage Credit Bureau 
Advantage Plus Credit Reporting, Inc. 
American Reporting Company, LLC 
Avantus 
Birchwood Credit Services, Inc. 
CBA 
CBC Innovis, Inc. 
Certified Credit Reporting, Inc.
CIC Mortgage Credit, Inc. 
Cisco Credit 
CIS Info Services 

CoreLogic Credco

Credit Associates 
Credit Data Solutions

CIC
Credit Information Systems 
Credit Link, LLC 
Credit Plus, Inc. 

CRS
Credit Quick Services 
Credit Technology, Inc. (CIT) 
Credit Technologies, Inc. 
Cred Star 
Data Facts, Inc. 
EGS Global Solutions, Inc. 
Equifax Mortgage Solutions 
Factual Data aka: MACS 
Funding Suite 
Information Searching Company 
Informative Research 

KCB Credit, LLC 
Kroll Factual Data 
Merchants Credit Bureau aka: MCB 
MFI Credit Solutions 
Midwest Mortgage Credit Services, Inc. 
NCO / EGS / Alorica Credit Services, Inc. 
Online Information Services, Inc. 
Partners Credit and Verification Solutions 
Premium Credit Bureau 
SARMA 
Settlement One 
Sharper Lending, LLC 
Strategic Information Resources, Inc. 
The Credit Network KFD 
United One, Inc. 
Universal Credit Services, Inc. 

Some of these credit aggregators are patched in directly into mortgage lender software for other systems to read the bits of data such as monthly payment due, balance, and averaged middle FICO score. Monthly payments and balances owing are pieces of information needed for Underwriting approval to discern the debt-to-income ratio. The middle FICO score is used in LOS in pricing engines and Underwriting software to determine rate and fees available with these hurdles or attributes. Also, as a deciding factor to fit the ins and outs of a mortgage loan product at a given moment in time.

Other plug-in bits of integration information are:

Appraisal

Flood certificate

4506T from the IRS

SSA-89 also from mine government

Mortgage Insurance (many providers MGIC, Genworth…)

The Work Number (and a hundred other Verification of Employment apps or manual order)

New bank statement reading apps

MERS

Compliance apps

And so forth

All these vendor pieces are integrated into a lender’s Loan Operating System (there are many of these, most commonly Encompass (Ellie Mae bought by Intercontinental Exchange ICE) Empower owned by Black Knight, Blend, Lending QB, Turnkey, Lending Pad, Calyx Point, Open Point, Meridian, Power Lender, Net Oxygen…

 

To sell a loan to Fannie Mae (DU system) or Freddie Mac (LP system) the puzzle pieces, as in all these parts, must be 1. A provider the end company accepts or certifies 2. Be in format that flows into now MISMO 3.4 and XML directly into the end approver’s website.

To sell a loan to a Non-QM lender they have a different list of acceptable pieces and companies they require.

To sell to FHA and USDA again other triangular shaped pieces must fit their square box.

What I was illustrating is that the originator/ salesperson who is skilled must know their client’s dark secret story and desires to know before ordering credit, appraisal and certain pieces of the mortgage application from day one. By ordering a KFD credit report I cannot sell to Fannie, Freddie, or Non-QM I will need to order a second report perhaps later in the progress and the FICO middle score will be lower if I wait more than thirty days to order the second more fitting appropriate type.

 

I hope this explanation of the bones of software, not really the difference in SaaS or Cloud based or the many varieties of methods to review a home loan.

When I started in mortgage a pencil, paper, HP, and the borrower was what I needed. Today I can still outperform all these digital tools when the borrower is self-employed, the property not cookie cutter, and risk is an issue. Fintech has not put my brain to pasture, yet.

(949) 784-9699

C G 

Caroline Gerardo Barbeau

NMLS 324982

Sun West Mortgage LLC  NMLS 3277

 

 

TransUnion Equifax OWE YOU Money

Santa Slaps the CREDIT COPS

A day after CFBP announced that TransUnion would have to pay  seventeen million dollars in fines for deceptive advertising, the CFPB announces: now Equifax, another credit reporting agency is also being crushed in the wallet. Richard Cordray is surely paying his own salary here. Not that anyone feels sorry for the credit cops who preyed upon American Consumers touting their services of credit reporting are accurate, fair and useful. Credit cops TransUnion Equifax and others charge huge fees to mortgage lenders and consumers for their mathematical models which are flawed.

It's easy for business to hate The Consumer Financial Protection Bureau (CFPB). It will be near to impossible for Trump to dismantle the strong arm, as they are funded by fining. CFBP is perhaps one of the most profitable entities in Washington D.C. EASIER NOW for consumers to realize the Credit Cops lied, and cheated consumers

TransUnion Equifax and (Experian not yet named) and their subsidiaries and affiliated- those pesky credit karma, free credit report crap that get your credit card and bill consumers until the cows come home. deceiving consumers about the usefulness and actual cost of credit scores they sold to consumers. Credit cops lure consumers into costly recurring payments for credit-related products with lies, misrepresentation and fear. CFPB orders TransUnion and Equifax now advertise the true value of the credit scores they provide and the cost of obtaining those credit scores and other services. Line up for your eleven dollar check from TransUnion and Equifax. Credit cops must pay $17.6 million in restitution to consumers, and fines totaling $5.5 million to the CFPB.

“TransUnion and Equifax deceived consumers about the usefulness of the credit scores they marketed, and lured consumers into expensive recurring payments with false promises,” said CFPB Director Richard Cordray. “Credit scores are central to a consumer’s financial life and people deserve honest and accurate information about them.”

Chicago-based TransUnion and Atlanta-based Equifax  collect credit information, including a borrower's payment history, debts, maximum credit limits, creditors, and other elements of their credit relationships. Information is gathered but often incorrect, erroneous and mistaken. Bits of historical payment records are conglomerated into a giant rubber band ball of numbers. A consumer who tries to correct mis-information about a similar name (those who happen to be a Junior with same name as father) or those who have wrong information find it near to impossible to get right. Credit reports and scores tare provided to subsidiaries for employment checks, loans, and all kinds of "snoopdom". Through subsidiaries, TransUnion Interactive and Equifax Consumer Services, Credit cops advertise and sell credit products to consumers, such as credit scores, credit reports, and credit monitoring. 

TransUnion sells to consumers via VantageScore Solutions, LLC. The big lie is VantageScores are not used for credit decisions by mortgage lenders, car loans and credit card loans. Equifax sold scoring to consumers from Equifax’s own machine: Equifax Credit Score, which is an “educational” useless credit score that also is not used by anyone to make credit decisions.

Furthermore TransUnion and Equifax sold consumers monthly services to check your score or check your credit which are worthless numbers. Both lied to the public. These are violations of Dodd Frank and Consumer Financial Protection Acts. Both TransUnion and Equifax failed to get consumer written authorization to pull these reports millions of times

•  EVER TRIED TO CANCEL THESE SERVICES? BOTH TransUnion and Equifax hide from consumers to avoid cancellation of monthly charges. They must stop billing recurring charges. They must now advertise and list their phone number, answer the phone and have online cancellation forms, mail to, fax to and submit on line available to cancel services. These credit cops are worse than Match.com and Eharmony for not allowing consumers to cancel and USING their own information to sell as product. It's a wonderful digital world.

TransUnion and Equifax owe you money TransUnion's phone call free and ask for your $100.00 1 (855) 681-3196

CFPB’s  Order against Equifax is here:http://files.consumerfinance.gov/f/documents/201701_cfpb_Equifax-consent-order.pdf 

 text of the CFPB’s Order against TransUnion is here:http://files.consumerfinance.gov/f/documents/201701_cfpb_Transunion-consent-order.pdf 

Contact:  C G  Barbeau (949) 784-9699

Mortgage Credit Report

Mortgage details and things I'm seeing regarding credit:

Forgiveness of debt in a modification is treated the same as short sale.

Wait is four years for conventional loans and three for FHA

Mortgage Credit reports should be read and interpreted by an expert. The lady in the credit union that takes your papers to be processed for a loan can misinterpret or miss read. It is vital to view a mortgage credit report on day one  with regards to derogatory credit events and the proper calculation for seasoning.

·      Fannie Mae only – The foreclosure seasoning can be reduced from 7 years to 4 years if the property is surrendered in the Chapter 7 bankruptcy.  Make sure the property is listed on the Chapter 7 form Debtor’s Statement of Intention and marked as surrendered.  This reduced seasoning does not apply for foreclosures that

occurred prior to the filing of the bankruptcy in which only an unsecured deficiency balance is listed in the bankruptcy.

·         All loan types – A HELOC settled for less than full balance can occur even if there is no short sale or foreclosure.  Lien Holders can be approached with a request to reduce the balance, or the Lien Holder may initiate the settlement.  Determine the property address associated with the HELOC or 2^nd mortgage. Even if the borrower still owns the property, sufficient seasoning will be required as the lender has taken a aloss.  This would be considered a pre-foreclosure situation requiring 4 year seasoing for Fannie or Freddie, 3 year seasoning for FHA or USDA, and 2 year seasoning for VA, from the date of the settlement/foregiveness.

Mortgage Application

Mortgage Application online step by step description how to begin.
Apply for your FHA, VA, USDA, Jumbo, Conventional Mortgage Loan from your home or office.
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We have an amazing number of mortgage products for you.
Perfect credit, a year after foreclosure, foreign national, Super Jumbo
we have it all.
Call C G from 7:00 AM to 7:00 PM seven days a week for answers to your questions
Even if you just need advise how to fix your broken deal we are here to help

Mortgage Loan Privacy Free Test

Privacy in Mortgage Banking transactions

Twenty Questions with Correct Answers
Can you pass?
Free exam with the

The Disposal Rule promulgated by the FTC pursuant to the FACT Act requires:

Select one or more:

a. The proper disposal of consumer credit reports or information derived from consumer credit reports

b. Provides very specific acceptable manners of disposal

c. Allows for flexibility on the part of the disposer of the information

d. Applies only to financial institutions

The government agency in charge of enforcing the GLB Act is:

Select one:

a. The Federal Reserve Board (FRB)

b. The Federal Trade Commission (FTC) and the Treasury Department

c. The Securities and Exchange Commission (SEC)

d. The Office of the Comptroller of the Currency (OCC), the Office of Thrift Supervision (OTS), the National Credit Union Administration (NCUA) and the Federal Deposit Insurance Corporation (FDIC)

e. All of the above

Question 3

The required components of the privacy notice given to customers include:

Select one:

a. Providing an opt out

b. Notifying the customer of who the NPI is shared with

c. Notifying the customer about how NPI is protected

d. All of the above

e. Notifying the customer about what type of NPI is collected

Question 4

The first law to recognize that personal, non-public financial information was private and should be protected is:

Select one:

a. Privacy Act of 1974

b. Right to Financial Privacy Act

c. Fair Credit Reporting Act (FCRA)

d. Financial Services Modernization Act (also known as the GLB Act)

Question 5

The required components of the privacy notice given to all consumers include:

Select one:

a. Notifying the consumer about what type of NPI is collected and who it is shared with

b. Providing an opt out

c. Notifying the consumer about how to obtain a copy of the privacy notice

d. A and B only

e. B and C only

Question 6

The privacy notice must meet certain appearance requirements which include:

Select one or more:

a. Clear and conspicuous language that is easy to understand

b. Must be printed in bold type

c. If provided on the website, it must be on a page that is regularly accessed by the customer, or show the link on a page that is regularly accessed by the customer

d. Must be stated in a way that calls attention to the importance of the notice

e. All of the above

Question 7

Account numbers may never be shared:

Select one:

a. With service providers who cannot initiate charges to the account

b. For marketing purposes

c. Even if the account numbers are encrypted and the recipient has no way of decoding them

d. All of the above

Question 8

Under the GLB Act a financial institution has the responsibility to:

Select one:

a. Keep financial information private

b. Only share with affiliates after informing individuals of information sharing policies and providing an opportunity to opt out

c. Never share account numbers for marketing, even if the customer did not opt out

d. All of the above

e. Only A and B

Question 9

The GLB Act was enacted to address concerns regarding:

Select one:

a. Technological advances that affected the finance industry

b. Improper use of consumer credit reports

c. Identity theft

d. Both A and C

Question 10

The opt-out notice required by the GLB Act prior to sharing NPI with non-affiliated third parties must:

Select one:

a. Provide a reasonable means of opting out and provide a reasonable time to opt out

b. Be affective for at least 12 months

c. Be given verbally or in writing

d. All of the above

Question 11

Information that is not subject to the privacy provisions of the GLB Act is:

Select one:

a. Information that is publicly available

b. Information that the institution reasonably believed was publicly available

c. Both A and B

d. Neither A nor B

Question 12

FCRA allows for the sharing of consumer credit information:

Select one or more:

a. With non-affiliates, but only with an opt-out

b. Without providing an opt-out notice

c. With affiliates, and no opt-out is required

d. With affiliates, but only with an opt-out

Question 13

A consumer, for the purposes of the GLB Act, is someone who:

Select one:

a. Has obtained a financial product from the financial institution

b. All of the above

c. Obtains or will obtain a financial product or service

d. Has an ongoing and continuous relationship with the financial institution

Question 14

The GLB Act allows a financial institution to share NPI with non-affiliated third parties subject to certain exceptions. Those exceptions are:

Select one:

a. Service providers and vendors

b. Information shared pursuant to a joint marketing agreement if the agreement is in writing and for financial products or services

c. To administer or service the account

d. Information is required pursuant to court order, subpoena, search warrant, or in conjunction with regulatory examination

e. All of the above

Question 15

The privacy provisions of the GLB Act apply to the non-public, personal information (NPI) of:

Select one:

a. Consumers

b. Customers

c. Businesses

d. Both A and B

e. All of the above

Question 16

The required features of the Safeguards Rule include all except:

Select one:

a. At least one employee specifically designated to coordinate the program

b. Continuous monitoring, testing and updating of the program

c. A written safeguarding policy

d. Safe harbor for institutions who use a third party to provide safeguarding services

Question 17

According to the Safeguards Rule, assessing the risk includes:

Select one:

a. Employee management and training

b. Testing the integrity of the system

c. Relying solely on third parties to safeguard customer information

d. All of the above

e. A and B only

Question 18

In order to deliver the privacy policy via website, the financial institution must:

Select one:

a. Receive customer consent to receive it in this manner

b. First provide the policy in paper form at least once

c. Obtain written consent to receive it in this manner

d. Also provide the policy in paper form

Question 19

Privacy of personal and financial information is codified by the following federal statute(s)?

Select one or more:

a. Equal Credit Opportunity Act (ECOA)

b. Fair and Accurate Credit Transactions Act (FACT Act)

c. Gramm-Leach-Bliley Act (GLB Act)

d. Fair Credit Reporting Act (FCRA)

Question 20

Liability and penalties for violations of the GLB Act include:

Select one:

a. Liability for the institution as well as for individual employees and directors

b. Fines of up to $10,000 per individual and $100,000 per entity

c. Imprisonment

d. Loss of lending privileges

e. All of the above

Correct answers are in bold type :) 

Caroline Gerardo  http://eaglehomemortgage.com/carolinegerardo/http://eaglehomemortgage.com/carolinegerardo/

NMLS 324982