Residential Briefs

MBA NewsLink Staff

May 08, 2019

Ginnie Mae Solicits Feedback on Potential Changes to MBS Pool Eligibility Parameters
Ginnie Mae, Washington, D.C., published a Request for Input as it considers making changes to parameters governing loan eligibility for pooling of mortgages into its security.

This RFI follows policy changes already implemented by Ginnie Mae and the Department of Veterans Affairs to address abnormal prepayment patterns in some mortgages pooled in Ginnie Mae mortgage-backed securities that negatively affect MBS pricing.

The RFI provides background information and analysis for consideration and specifically requests input concerning the potential removal from, or the restriction of, certain cash-out refinance mortgages within the Ginnie Mae II MBS. All responses to the RFI are to be submitted to Ginnie Mae by May 22.

The RFI is accessible at

Idaho E-Recording Statewide with Simplifile
Simplifile, Provo, Utah, Nez Perce and Shoshone counties, Idaho, adopted its e-recording service. Idaho is now the 11th state to implement e-recording statewide using Simplifile, representing all 44 counties.

Recording offices throughout Idaho can now leverage Simplifile's e-recording platform to electronically receive, stamp, record and return documents, while settlement agents can submit recording fees and other recording-related expenses directly through system.

Ellie Mae Launches Pro Consulting Partner Program
Ellie Mae, Pleasanton, Calif., launched its Pro Consulting Partner Program. Through the program, consulting partners will be offered training and certification opportunities, along with deeper access to Ellie Mae resources.

Consulting partners have access to tools, resources and support, including Encompass test and development environments; regular product updates and best practices coaching; discounted individual training and achievement programs; corporate listing in online partner directory; promotional marketing and sponsorship opportunities; and the Ellie Mae branding toolkit.

TransUnion Enhances IDVision with iovation Suite
TransUnion, Chicago, unveiled enhancements within its IDVision with iovation suite of products, most notably inclusion of its new Rapid Default model.

Rapid Default predicts the risk of a bust-out consumer and gives businesses the ability to take action before losses accumulate. Furthermore, this score can be used to identify consumers with lower rapid default risks, who may now be eligible for credit line increases or other benefits."

First American Mortgage Solutions Launches RegsData Compliance Suite
First American Mortgage Solutions LLC, Santa Ana, Calif., launched its RegsData Compliance Suite for managing compliance risk earlier in the mortgage application, designed to increase efficiency while reducing risk and costs.

Built for mortgage lenders and servicers, investors, auditors, due diligence and quality control providers, RegsData Compliance Suite delivers bundled compliance reports or individual tests as application program interfaces for integration at any point along the loan lifecycle. It incorporates First American Mortgage Solutions' automated regulatory compliance product, formerly known as PredProtect.

New Diligence Advisors Added to DBRS List of Third-Party Reviewers
New Diligence Advisors, Horsham, Pa., a national third-party review firm, announced that DBRS, a global credit rating agency, added the company to its list of acceptable third-party review firms. As a result, DBRS will generally accept third-party reviews, diligence grading, results and reports from NDA for DBRS-rated residential mortgage backed securities.

In addition to DBRS, NDA has also been approved by S&P Global Ratings, Fitch Ratings, Morningstar Credit Ratings and Kroll Bond Ratings Agency as a TPR for U.S. RMBS.

Gateway Mortgage Group Completes Merger to Form Gateway First Bank
Gateway Mortgage Group LLC, Jenks, Okla., completed its merger with Farmers Exchange Bank to form Gateway First Bank, an Oklahoma banking corporation.

Gateway First Bank has $1.2 billion in assets, five banking centers in northwest Oklahoma, 160 mortgage centers with operations in 40 states and the District of Columbia, and more than 1,200 employees. To fund the acquisition, Gateway First Bank completed an initial closing of a private placement offering, raising $40 million in equity capital. Shapiro Bieging Barber Otteson LLP served as legal counsel to Gateway for the acquisition and the private placement. Sandler O'Neill + Partners, L.P. served as placement agent for the private placement. Manatt, Phelps & Phillips, LLP served as legal counsel to the placement agent. Fenimore, Kay, Harrison & Ford, LLP served as legal counsel to Farmers Exchange Bank in the acquisition.

Azimuth GRC Releases Automated Compliance Software
Azimuth GRC LLC, Jacksonville, Fla., released its automated regulatory compliance software in its first module for the mortgage industry. The Azimuth GRC platform provides organizations with ways to demonstrate compliance with industry regulations while eliminating time and costs previously spent on manual compliance tasks and processes.

Azimuth GRC is a configurable compliance platform that automates regulatory change management throughout a mortgage organization. The platform identifies and categorizes laws and regulations that apply to an organization and allows the organization to assess their operational impact all in one place. Lenders and servicers can create a connection with operations and eliminate manual compliance processes and spreadsheets, as well as reduce time previously spent preparing and responding to regulatory exams.

NewDay USA Secures $400M for Warehousing to Fund Operation Home
NewDay USA, Fulton, Md., renewed its warehouse facility with BankUnited for $100 million. The company now has $400 million in warehouse commitments, that also includes Texas Capital Bank and People's United Bank.

These warehouse facilities will enable NewDay USA to achieve an expected 150 percent increase in the number of veteran families and military service members that obtain a VA Home Loan to purchase a home.

TRK Connection Integrates with Veri-Tax
TRK Connection, Salt Lake City, Utah, added 4506-T Income Verification from Veri-Tax, a provider of verification products, to its flagship QC audit platform Insight Risk & Defect Management. The addition expands the range of integrated income verification providers Insight users can select to complete the post-closing QC reverification process.

Veri-Tax's 4506-T Income Verification service allows lenders to validate income and uncover potential borrower misrepresentation. By auditing every order at multiple check-points, Veri-Tax reduces IRS rejections by 29 percent, and all tax transcripts include a customizable summary coversheet that highlights and calculates key income verification line items. The ability to order income verification from Veri-Tax directly through the Insight RDM platform, which also includes reverification eSign capabilities, enables lenders to create a paperless, streamlined reverification process designed to support lenders' loan quality initiatives.

Wolters Kluwer, Chartis Research to Explore Benefits of Artificial Intelligence in June 4 Webinar
Analysts from Wolters Kluwer's Compliance Program Management business and Chartis Research will discuss ways in which financial services firms can tap Artificial Intelligence to more effectively manage their regulatory compliance obligations in a webinar, Leveraging AI for Regulatory Change, on Tuesday, June 4 from 10:00-11:00 a.m. ET.

The webinar will present an overview of the current market for AI applications in financial services, explore Wolters Kluwer's approach through several case studies in helping clients manage regulatory change using AI and look at the opportunities and longer-term implications of AI in financial services.

To register, visit

HLP, VeteransPlus to Provide Financial Counseling, Education Services for Military Service Members, Veterans
HLP, Atlanta, announced it will soon begin offering free financial counseling and education services for more than 30,000 military service members and veterans who are part of the Yellow Ribbon Network. The agreement with VeteransPlus, a national financial literacy organization for military service members and veterans, aims to help these individuals and their families avoid financial hardship and better plan their financial futures.

The agreement calls for HLP to connect service members and veterans with free access to HUD-approved housing counselors to prepare them to purchase a home, as well as counseling after they've bought their first home to help sustain homeownership; counseling to help to avoid a housing crisis, including foreclosure prevention and eviction from rental properties; financial education to improve a member's credit; and access for members of the Yellow Ribbon Network to, a central source of information about aid programs nationwide, including state and federal government programs as well as private charitable resources.

ComplianceEase Integrates with LendingPad
ComplianceEase, Burlingame, Calif., said its ComplianceAnalyzer platform is now integrated with LendingPad, a cloud-based loan origination system from WEI Technology LLC.

With this integration, LendingPad users can perform real-time audits for regulatory compliance violations without leaving their LOS. ComplianceAnalyzer audits both first mortgages and home equity loan and lines for federal, state and local requirements, including state predatory lending issues; changes in terms and fees; audit tolerance across all disclosures and changed circumstances; and track post-consummation disclosures.

SimpleCECL Now Available in Calyx Path
Calyx Software, Dallas, announced its Path loan origination software is now integrated with SimpleCECL from LoanScorecard, a provider of non-agency automated underwriting systems.

SimpleCECL combines proprietary credit and prepayment forecasting model and related analytics from Andrew Davidson & Co. Inc. with LoanScorecard technology to provide loan-level analyses for Current Expected Credit Loss and a calculation of appropriate loan loss reserves to hold, based on the model's projected lifetime losses for that loan. With this integration, financial institutions can generate loan-level CECL analysis to ensure accuracy and compliance for all loans originated, including those with a policy exception, as well as an exact calculation for loan loss reserves under the new regulation, without leaving the LOS.

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