LoanLogics Announces the Next Generation of Loan Quality Management Systems with its LoanHD® Platform, a first for Monitoring both Loan Quality and the Health of a Mortgage Portfolio
Fort Washington, PA | April 30, 2014 LoanLogics, a recognized leader in loan quality management systems and performance analytics, has released the next generation of its LoanHD platform. It is now the first cloud-based platform in the mortgage industry that combines the ability to monitor the health of a mortgage portfolio with the management of loan quality. This major release to LoanHD helps lenders comply with Fannie Mae and Freddie Mac requirements and regulations enforced by the Consumer Financial Protection Bureau, while streamlining loan quality management tasks and lowering overall operational costs.
"The platform addresses the new reality that lenders face. Expenses are increasing because of the costs of complying with regulations, such as the qualified mortgage rules, and at the same time, revenues are decreasing," said Brian K. Fitzpatrick, President and CEO of LoanLogics. "Our aim is to provide an immediate, dramatic return on investment. Our estimate is that an auditor who uses the LoanHD platform can complete 12-14 high-quality loan reviews each day, compared with just 4-6 without the technology."
LoanLogics has combined its loan performance management analytics with quality assurance and quality control to help lenders achieve a 0% defect goal in production and monitor health over the life of the loan. "Loans that are sold on the secondary market often have some form of data errors or manufacturing defect," said Fitzpatrick. "During the mortgage process the number of loans that are suspended because of manufacturing errors, or worse yet, come back as repurchase requests, can be close to eliminated with LoanHD, all while reducing the cost of the operations."
LoanHD is superior to the quality checks that loan origination systems or other legacy QC technologies provide because it can perform quality checks against the actual loan file documents and not just the data in the loan origination system. "The reality is, while every effort may be made to enter data correctly into the LOS, inaccuracies exist, so relying on it solely can lead to incorrect audit decisions," said Terese Campbell, Sr. Vice President of Product Management at LoanLogics.
With LoanLogics' capabilities, hundreds of unique extractions take place and a significant amount of audit tests are completed by automation. In addition, loan findings are provided in real-time so that reviews and rebuttals can be completed much earlier. Most other QC audit firms or QC technologies still release in bulk on a monthly basis and results are not determined until 90 to 120 days after the loan was closed.
LoanLogics has invested several years and millions of dollars developing this technology and the company is excited about the efficiencies it brings to the mortgage marketplace. It's an opportunity for lenders to get higher return from their investment by improving their lending practices to drive bottom line results.
"We were already well ahead of the industry, but we want to continue to deliver a great platform, not just a good one," said Fitzpatrick. "LoanHD is the next generation platform, one that is designed to ensure compliance and generate efficiencies for clients."
About LoanLogicsLoanLogics was founded nine years ago to improve the transparency and accuracy of the mortgage process and improve the quality of loans. LoanLogics serves the needs of residential mortgage lenders, servicers, insurers, and investors that want to improve loan quality, performance and reliability throughout the loan lifecycle. It develops advanced solutions that help clients validate compliance, improve profitability, and manage risk during the manufacture, sale and servicing of loan assets. Achieving these goals was the motivation in the development of the industry's first Enterprise Loan Quality and Performance Analytics Platform. To learn more, visit www.loanlogics.com
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