Lender Technology Corporation circulates draft RFPMortgagePress.comLender Technologies Corporation, MBA, RFP, national registry, mortgage fraud, Kieran Quinn, Richard Wohl
Lender Technologies Corporation (LTC), a wholly-owned subsidiary
of the Mortgage Bankers Association, recently circulated a draft
Request for Proposal (RFP) regarding the creation of a national
database to help prevent and detect mortgage fraud.
Within both the industry and law enforcement, there is
increasing concern that mortgage fraud perpetrated against
residential mortgage bankers has grown considerably over the past
several years, with significant consequences to lenders, as well as
to taxpayers, consumers and communities.
"Fraud against mortgage lenders is a growing problem, one that
affects all lenders and consumers," said Kieran P. Quinn, CMB,
chairman of MBA. "We are eager to explore new technologies to help
track fraud and share information that will allow lenders to better
protect themselves, as well as consumers, taxpayers and
communities, from the costs of mortgage fraud, and that is why we
are lending our support to efforts to develop a national fraud
At the request of an industry group made up of several of the
largest residential mortgage lenders, as well as Fannie Mae and
Freddie Mac, and as part of ongoing efforts to combat mortgage
fraud, LTC is exploring the creation of a national database which
will use technology to provide an early warning system for
potential fraud. LTC is seeking comment on the draft RFP from the
vendor community and other interested parties to assure that the
specifications in the draft RFP are sufficient to elicit viable,
comparable proposals. "Information is truly the lender's best
defense against mortgage fraud," said Richard Wohl, president of
IndyMac Bank, member of MBA's board of directors and former chair
of MBA's residential board of governors' mortgage fraud taskforce.
"Preventing fraud before it occurs is the most important step we
can take, and the industry, along with seeking support of its
regulators, is eagerly pushing this innovative national anti-fraud
information sharing database forward so we can do just that."
The primary focus of this project is to develop a database and
process to facilitate the sharing of key data that will improve a
mortgage lender's ability to identify and stop fraud at the point
of origination. The project described in the RFP presents a very
powerful opportunity for the mortgage industry to prevent
fraudsters from harming both lenders and honest homeowners.
For more information, visit www.lendertechnologies.com.