CoreLogic has announced a suite of compliance solutions designed to help servicers maintain compliance with the Servicemembers Civil Relief Act (SCRA). The CoreLogic SCRA Compliance Solution helps mortgage servicers comply with the new standards established in recent SCRA settlements and provides new ways to address the increased costs associated with SCRA compliance.
An August 2014 agreement between the White House and major loan servicers asks servicers to proactively identify and notify active duty service members of the benefits available to them. The CoreLogic SCRA Compliance Solution provides servicers with a way to identify and validate active duty military service members in a loan portfolio, notify, track and report on active duty benefits, and prepare for any possible audits.
“The servicers who are currently participating in the new White House initiative are already seeing positive benefits,” said Sapan Bafna, vice president at CoreLogic. “Some servicers may be put off by the costs and challenges of implementing a voluntary program such as this, but with our SCRA Compliance Solutions suite of services, we have a turn-key solution that can help them help those who protect and defend our freedoms.”
The CoreLogic SCRA Compliance Solution helps servicers address key components of the August 2014 agreement via three customizable services. First, CoreLogic will search the U.S. Department of Defense (DoD) database to check and verify SCRA-required information such as the verification of active duty periods. Second, if a client is determined to qualify for active duty protection, a letter can then be generated, shipped and tracked using the CoreLogic in-house fulfillment services. A PDF of the actual DoD certificate can also be generated and stored for up to 12 months for additional audit protection. CoreLogic can monitor the responses and even key the information into the servicer’s systems. Third, an audit reporting package is offered that will outline all of the efforts undertaken to ensure SCRA compliance by the servicer.
“According to the Fannie Mae quarterly Mortgage Lender Sentiment Survey, compliance costs are up over 30 percent when compared to 2013," said Bafna. "As a fully auditable, trusted, third party resource, CoreLogic can help servicers can reduce these costs by outsourcing their SCRA Compliance needs directly to us, saving them valuable time and resources."
