Overture Technologies and SigniaDocs join forces to transform loss mitigation MortgagePress.comOverture Technologies, SigniaDocs, loss mitigation, Mozart for Special Servicing, modification
Overture Technologies, a provider of decisioning solutions for
transparent, accurate and responsive lending processes, and
SigniaDocs, an eMortgage-based services for the mortgage industry,
have announced the creation of a joint offering that combines
Overture's Mozart for Special Servicing with SigniaDocs' electronic
modification technology to transform loss mitigation services.
Mozart for Special Servicing allows servicers to manage and
successfully apply a more robust set of alternatives to borrowers
in distressed mortgages, and more quickly yield a "best-fit"
modification that can reduce repeat default rates and preserve the
value of mortgage assets. SigniaDocs' eMortgage technology enables
the eDisclosure, eSigning and eVaulting of modification documents,
both securing and speeding the resolutions recommended by Mozart
for Special Servicing.
The demand for loan modifications is enormous. The HOPE NOW
alliance, which is an alliance between counselors, mortgage market
participants, and mortgage servicers to create a unified plan to
reach and help as many homeowners as possible, reported one million
loan modifications in 2008 and expects two million or more in 2009.
Furthermore, Chase has implemented mass modifications on $1
trillion worth of loans it services for others and $22 billion of
loans in its own portfolio1. If these transactions can be closed, a
significant cost savings opportunity exists for both borrowers and
investors. Closing them has been the hard part. After agreeing to
loan modifications over the phone, many borrowers seem to lose hope
in keeping their homes and choose not to sign documents when they
arrive a day or two later. The joint effort between Overture
Technologies and SigniaDocs is designed to both produce better
modification agreements and provide immediacy to the process, while
borrower interest is still high.
"With Mozart for Special Servicing, significant loan-level data
and analysis, up-front and surgically applied, is required to
manage the unprecedented volume of distressed mortgages, as well as
the increasing complexities of products, programs, and regulatory
guidelines in our 21st century mortgage industry," says Linda
Simmons, general manager of Overture's Mortgage Finance Solutions.
"Once a borrower and investor agree on the specifics of the
modification, the borrower can immediately eSign the documents
online in a secure environment, without any waiting. The process is
completed very quickly, and we're learning speed is critical to
loan modification success." After the eModification has been
executed, it is electronically delivered to the investors custodian
and filed in a secure eVault.
"One of the biggest problems servicers face is getting loan
modification documents executed in a timely manner," says Tim M.
Anderson, SigniaDocs' president. "We've found if the documents can
be presented online within minutes, over half of the borrowers
approve the modification the same day and nearly 80 percent do it
within two days." SigniaDocs' eMortgage platform also "reps and
warrants" the compliance of the eDisclosures and tracks all
activities associated with their viewing, eSigning and eDelivery to
SigniaDocs' secure eVault environment, ensuring fast and efficient
processing of any loan modification. "By raising the speed and ease
with which documents can be presented and signed, lenders and
servicers gain borrower commitment more quickly, making the loan
modification process far more effective," according to
Anderson.
Mozart for Special Servicing leverages Overture's award-winning
automated decisioning technology, used in mortgage underwriting in
a process called, "automated re-decisioning," involves applying a
sophisticated rules system to re-evaluate risk and the value of a
loan at any point along the mortgage value chain. Mozart for
Special Servicing offers the greater transparency required by
investors, auditors and regulators, with English-language policies,
complete history of information changes, decisions, and selected
options. The software solution enhances and integrates with
existing work flow systems, and is deployed as a
software-as-a-service (SaaS). Mozart for Special Servicing is
available now and can be configured, integrated and running in a
matter of weeks.
For more information, visit www.overturecorp.com or www.signiadocs.com.
