New technology looks to reduce foreclosure fears for mortgage servicers
Technology provider DecisionReady has a new product aimed at helping default servicing professionals foreclose on properties without fearing a lack of compliance with state and federal foreclosure laws. At times, the laws vary from jurisdiction to jurisdiction, with Washington, D.C., even creating a "quasi-judicial" foreclosure process to handle an upswing in foreclosures after the housing market meltdown. The DecisionReady offering joins a growing number of products designed to increase foreclosure compliance among mortgage servicers. Earlier this month DKR Collateral Dynamics, a new venture co-partnered by Jon Daurio, CEO of Kondaur Capital, began to offer collateral audit reviews, by going through mortgage and title paperwork, identifying any errors and working to patch the problems. The DKR service measures the risk of the title ownership deteriorating for a mortgage servicer once foreclosure proceedings begin. Irvine, Calif.-based DecisionReady launched its pre-foreclosure review module for default servicers during the MBA Servicing conference in Dallas-Fort Worth Tuesday. The module, which will function as part of the firm's DecisionReady compliance suite, is designed to pull default servicing professionals through a foreclosure checklist. Data analyst firms like RealtyTrac expect a record number of foreclosures this year. But the unleashing of backlogged foreclosure inventory means servicers will have to work through large volumes of loans while ensuring they meet all federal and state foreclosure requirements. This is where the tool steps in to make participating servicers aware of what they are mandated to offer. "Servicers now can show that they have made the right decision in accordance with their policies and procedures," said Felix Veski, senior vice president of marketing. "Furthermore, DecisionReady’s cloud technology enables incredibly fast and rapid solution deployment with minimal upfront capital investment to quickly respond to regulatory changes." Write to Kerri Panchuk.