Ellie Mae Inc. has announced that it has enabled investor customization to its Total Quality Loan (TQL) program, a set of Ellie Mae and third-party services and technologies designed to enhance quality and compliance for loans originated through Encompass360 mortgage management software. The TQL program, which is currently in pilot with Wells Fargo Funding, a division of Wells Fargo Bank NA, can now be configured to accommodate the specific rules and requirements of individual secondary mortgage market investors.
The government-sponsored enterprises (GSEs) and secondary mortgage market investors each have different requirements for the loans they purchase. By enabling investor-specific customization, the TQL program provides Encompass360 users with an automated way to match the quality and compliance services ordered on a loan to the quality and compliance services required by the target lender.
“When lenders can match a loan to the investor’s quality requirements throughout the origination process, there’s less quality control work required by the investor, fewer duplicate services to be reordered, and ultimately, a higher salability factor for the lender,” said Jonathan Corr, chief strategy officer for Ellie Mae Inc.
The TQL program consists of a suite of compliance- and quality-enhancing services that include the Encompass Compliance Service and Encompass 4506-T Service, CoreLogic’s Risk Manager as an integrated fraud detection solution, and access to Fannie Mae’s EarlyCheck tool that helps lenders determine the accuracy of loan data prior to loan delivery. These services, along with their historical and real-time scores and results, can be accessed through the program’s TQL tool, a central onscreen access point within Encompass360. Results from these services are conveyed through a secure, tamper-proof electronic vault to the investor or other stakeholders with pre-determined permission.
After a TQL program service is ordered, two sets of results are provided. The original results are electronically delivered to the loan file in Encompass360, while an exact duplicate set of results is securely delivered to the file’s tamper-proof electronic folder in the vault. Only an authorized investor may review the folder’s contents. When an investor-specific version of the TQL program is used on a particular loan, the services specifically required by that investor are automatically ordered for the loan, thereby helping to provide lender-investor alignment on loan requirements.
