Flagstar Bank is jumping on the eMortgage train.
The bank announced Wednesday that it is now accepting eNotes for its warehouse lending transactions.
As previously noted in this blog, an eNote is a term generally used for the actual mortgage documentation and is most frequently used in conversations regarding the electronic storage of the digital note or mortgage in an eVault.
In Flagstar’s case, once the eWarehouse line is requested and approved, an eNote is instantly delivered to Flagstar’s eVault and registered with MERS.
Flagstar said that by using the eWarehouse lending option, mortgage bankers and originators will be operate more efficiently, since the delivery of the eNote happens in minutes rather than the days it takes for traditional paper documentation to be delivered.
Additionally, since the entire operation is electronic, there will be no concerns over lost or misdirect documents, Flagstar notes.
“This is great news for our customers,” said Joe Lathrop, head of warehouse lending for Flagstar.
“They’ll be able to clear their warehouse lines faster, have more accuracy and security, and best of all, originate more loans without increasing their credit line,” Lathrop continued.
“It’s another service we can offer our customers,” Lathrop concluded. “We’re still in the paper business and happy to accommodate customers who want to go that route, but the industry is moving towards paperless, and we want to be in the forefront.”