8742 Lucent Blvd.
While operational implementation of the new CFPB servicing standards and other federal and state regulatory requirements were largely completed in 2014, managing effective risk controls and maintaining the proper compliance environment will be a core objective for mortgage servicing in 2015.
A key theme of applying technology solutions that are scalable, more efficient and more effective will be important to developing the right regulatory support. And as the market reignites under a new regulatory structure, companies should be positioning themselves to offer new products and services.
Adapting to the new environment
Specialized Loan Servicing LLC (SLS) is adapting to the new regulatory environment by developing and enhancing key corporate governance and business control structures critical for CFPB compliance, including a business controls committee and a servicing assurance group.
The servicing assurance group has expanded substantially over the last 18 months, with focus on conducting periodic reviews to monitor the company’s compliance with stated policies and applicable regulations, and identify inefficient and ineffective procedures that expose the company to undue risk, along with proper remediation plans.
The company has also made a significant investment in technology to address the regulatory challenges, recently implementing Global Viewpoint (GV), an enterprise content management system that was developed by parent company Computershare Ltd.
“This new technology is a great example of creating greater efficiencies to help manage through the new servicing environment,” said Toby Wells, chief financial officer.
Global Viewpoint provides SLS with:
SLS is planning to deploy the Capturepoint solution, also owned by Computershare, for document indexing and data extraction in early 2015. Capturepoint provides for multi-channel document file ingestion from various loan originators and prior loan servicers. It will deliver normalized document classifications into an enterprise content management system — such as Global Viewpoint — that is fully integrated with SLS system applications.
Capturepoint will enable consistent mortgage servicing procedures and mitigate loan-based exception processing by high-value SLS teams. It will also automate manual processes around data extraction for high-risk loan and document types. The solution will improve the ability to meet regulatory and investor requirements compliance for loan file document content and data accuracy.
“Capturepoint provides for faster response to external and internal audit requests for document and data level compliance,” commented Wells.
SLS has rebranded its REO and valuation group, SLS Specialized Asset Management, and launched it as an independent third-party service in September 2014. With a client-focused objective of achieving industry-leading asset valuation, disposition, and maximizing sales proceeds, they provide clients with full visibility to all assets and customized investor reporting.
“While the number of REO industry participants has rapidly declined over the last two years, SLS is applying this core competency in new ways to help clients achieve their asset valuation and disposition goals,” said Ron Rooney, SVP of mortgage operations.
As SLS celebrates their third year since being acquired by Australian-based Computershare, the financial, IT and deep resource support of a global company is reshaping and expanding the products and services SLS provides to its clients.
“While SLS intends to stay true to its roots as a premier special servicer, we will be expanding into new services that increase value to mortgage investors and provide for a rich consumer experience,” Rob Brennan, EVP of corporate strategy, said. “Whether organically or through acquisition, SLS is poised to continue growing at a healthy but smart pace — placing strong operational performance and consistency as a priority at all times.”