Cogent Road adds compliance features to Business Spaces for mortgage industryMortgagePress.comCogent Road, Business Spaces, ECOA, TILA
Cogent Road, a provider of Internet-based applications for the
mortgage industry, announced it has added new compliance
capabilities to Business Spaces, the company's new intelligent
document management system for loan officers, that automatically
ensure full conformity with Equal Credit Opportunity Act's
Regulation B and Truth in Lending Acts Regulation Z.
Created to carefully monitor and track a loan's status coupled
with the speed of the process cycle dictated by Reg B, Cogent
Road's Business Spaces automatically delivers adverse action
letters (either electronically using all federal and state
disclosure requirements or via first-class mail) and creates an
audit trail for compliance officers when loans are manually
declined within the lender's loan origination system (LOS).
Additionally, in accordance with Reg B, a loan file must be
decisioned within 30 days of the application whether complete or
incomplete. To enforce compliance here, Business Spaces carefully
tracks the loan process to determine whether the loan has been
committed by underwriting within Reg Bs allotted 30-day window. If
not, Business Spaces automatically updates the LOS file and sends
out the necessary adverse action letter.
To provide full compliance with Reg Z, which requires that loan
disclosures are delivered to the applicant within three days of
taking the completed application, Business Spaces enforces this
timely requirement for the loan officer after initial application
is received. If disclosures are not sent within the necessary three
days, the file is automatically considered to be in adverse action;
the LOS file gets updated and a letter is sent out. Business Spaces
also offers the loan officer a "last chance" warning beforehand of
any potentially adverse action cases to help them move the loan
forward and effortlessly remain in compliance.
In addition to enforcing and tracking compliance, Business
Spaces is an intelligent document management platform that can
deliver and receive fully indexed documents, track their status and
even notify key workgroups of issues that may delay closing. It
offers one-click order and delivery of state-specific disclosures
with full e-signature capability. Should the loan applicant decline
the e-signature option or fail to review necessary documentation
within a predetermined amount of time, bar coded hardcopies are
automatically delivered for ink signing. The signed documents can
be automatically uploaded via fax or mailed back to the lender and
scanned into the borrower's Business Space.
"Business Spaces monitor a loan's status as it passes through
lender-specific underwriting milestones. Combined with its ability
to securely deliver confidential documents without using e-mail, it
ensures lenders are always in full compliance with FACTA, Reg B and
Reg Z," said William DiPaolo, managing partner of Cogent Road. "The
system helps manage the document workflow and takes over much of
the responsibility for monitoring compliance status of the entire
loan pipeline."
For more information, visit www.cogentroad.com.
