The FICO credit score was introduced many years ago and touted as the end-all for determining a prospective borrower’s creditworthiness. The better the score, the more likely the borrower would repay the debt. The lower the score, look out, higher potential for default. Simple, right? No more! Today, we’re told that maybe this revolutionary predictor may be outdated and in…
With the mortgage business projected to be a little tougher in 2018, the industry needs to find ways to produce and close loans more efficiently. The obvious answer is through the increased use of technology. But, are lenders prepared to invest the time and money needed to implement such technology? Lenders can continue to do business as they’ve done in…
It’s no secret that the mortgage industry has been a little slow to the table when it comes to the use of technology in handling loan originations. Although the need was recognized, when the housing market was good, the timing was all wrong. Why spend time and money searching for, developing, and implementing new technologies when everyone was making so…
Any business should know that it’s the complaints that you don’t hear that cause the biggest problems and loss of business. The same holds true for the defects that you don’t find. These are the ones hidden in the pipeline that can end up costing a company big money in the long run This is all the more reason to…
Just prior to July 4th, the Department of Justice announced that it hit another lender with a False Claims Act violation and fine. The most recent victim is Prospect Mortgage who was levied a fine of $4.16 million, and another one bites the dust… According to DOJ, once again a lender gets fined for misrepresentations made in connection with FHA-insured…
Like the robot warning Will Robinson of danger on the old TV series “Lost in Space”, First American Financial Corp. is warning the industry that loan application defects are on the rise. The FAFC Loan Application Defect Index indicates defects rose in April for the fifth straight month. Not a good indicator of loan quality. According to the index Incidents…
