MICA establishes standard loan workout form for mortgage insurers
Mortgage Insurance Companies of America rolled out a standardized loan workout reporting form for insurers that is intended to help companies provide more streamlined data to mortgage servicers. The trade group said the forms will be used by affiliated firms, as well as nonaffiliated mortgage insurers. "This will eliminate the current practice of servicers developing programming to generate customized workout reporting for each mortgage insurance company with which it does business," MICA said in a statement. "The template is designed to capture all workout activity on a monthly basis on all delinquent loans and loans in workout status." The new template includes standardized field names, definitions and formats that apply to borrowers, servicers, investors, properties, delinquencies and other workout data. MICA said the objective is for the workout reporting template to replace the MICA Home Affordable Modification Program reporting form, as well as any other customized workout reports. "However, each servicer should continue to submit all existing workout reporting they may be currently providing, along with the new workout reporting template, until each mortgage insurance company approves the servicer to discontinue submitting existing reporting," MICA said. "Additionally, each servicer should coordinate transmission and delivery of the new reporting template with each mortgage insurance company." Servicers will not be required to use the template until the January monthly reporting cycle, which will be released in February. Write to Kerri Panchuk.