Default servicing solutions provider Equator has introduced a new compliance and decision tool for delinquent loans.
Dubbed Loan Management, the solution works in conjunction with the Equator platform, which has been widely adopted by the mortgage servicing industry. Equator claims it is the first technology solution to unify compliance tracking and rules application within a common management framework.
With Loan Management, servicers can control critical decisions and calculations at both the portfolio and loan level, as well as enhance compliance through centralized administration.
Because Loan Management serves as the entry point for any loan entering the Equator Platform, servicers can proactively manage compliance on every loan from the instant it enters the system. They can also use the solution's integrated analytics to determine the optimal outcomes for each loan based on its unique characteristics.
An evolution of Equator's Loan Segmentation technology, Loan Management integrates compliance requirements and rules from all of Equator's other default products, as well as any client-configured rules, which combine to provide the most comprehensive verification process available. What's more, the solution can be readily integrated with legacy systems.
Equator claims Loan Management helps servicers check for compliance with a number of guidelines and regulations, including those set forth by state and federal government entities, investors, and the Consumer Financial Protection Bureau.
After all compliance requirements are identified and met, Loan Management then analyzes all possible outcomes for the loan and determines the option that will most minimize loss. The solution also acts as a ‘control tower,’ assigning loans to proper outsourcers, individuals or teams.Â
‘As rules and regulations become more and more complicated, servicers are being faced with more and more challenges,’ says John Vella, chief operating officer for Equator, in a release. ‘Our clients have asked for ways to ensure they're compliant, and we've created Loan Management in response to those requests. Loan Management is the soup-to-nuts solution that helps servicers stay compliant and profitable. While no two loans are identical, Loan Management provides a configurable framework for comprehensive, accurate evaluation.’