CoreLogic has announced the availability of e-signature for lenders requesting income verification using the CoreLogic Credco 4506-T Direct product on Ellie Mae Encompass360, a widely utilized mortgage origination platform. The 4506-T Direct product includes actual IRS transcripts that identify false or inaccurate tax information, automatically compares borrower-supplied 1040 data with IRS data, and searches up to four years of IRS-verified records. CoreLogic Credco is the first to offer e-signature for 4506-T requests on the Encompass360 platform. The addition of e-signature is designed to help streamline the origination process by decreasing the amount of time it takes to advance a loan to underwriting.
The IRS-filed 4506-T form is used by lenders to retrieve information that verifies a potential borrower’s income. Prior to the introduction of e-signature, Encompass360 users who submitted 4506-T requests had to obtain hard copy signatures from borrowers, often adding several days to the lending process. With the addition of the CoreLogic Credco 4506-T e-signature, lenders are now able to cut manual paperwork traditionally associated with income verification and reduce the time needed to submit a 4506-T request.
“Anyone who plans to sell a loan to one of the GSEs needs to verify a borrower’s income with the IRS,” said Dave Ard, senior vice president for CoreLogic. “CoreLogic is always looking for ways to improve the origination experience for both lenders and borrowers. We are proud to be the first to offer 4506-T e-signature capability on the Encompass360 platform, a move that will help many lenders reduce paperwork and achieve greater workflow efficiency.”