Mortgage software provides single point of contact platforms
Technology providers already released products to help mortgage servicers and borrowers to link through a single point of contact as required by new rules. In May, the Treasury Department set a new requirement under the Home Affordable Modification Program, detailing how mortgage servicers are to establish a single relationship manager that will proactively walk borrowers through the modification process and support them through foreclosure if necessary. Similar requirements came under consent orders signed between major servicers and their federal regulators. That same month, Lender Processing Services (LPS), which signed one of those consent orders with the Federal Reserve, released a product that would help servicers comply. At the same time, it enhanced its umbrella loan servicing platform known as MSP to fit the guidelines. The LPS package allows servicers to specify which loans require a single point of contact and which don't. LPS said it was working to broaden the scope of this function to find even current loans. One month later, Commerce Velocity, another technology provider based in Irvine, Calif. released a package they say enhances the communication lines between the borrower and the servicer. Borrowers can use the system to review the status of their loan, upload financial documents and access that single point of contact throughout the loss mitigation process. "Providing a borrower transparency to view their loan moving through the default process and enabling them to act timely on options and requirements to cure is a critical key to recovering from sub-performing assets," said Commerce Velocity President Umesh Verma. The Office of the Comptroller of the Currency delayed the deadline for when servicers are required to submit their plans for complying with the consent orders, and the new HAMP requirements go into effect Sept. 1. Write to Jon Prior. Follow him on Twitter @JonAPrior.