National City Mortgage Co. and First Franklin Manage Agent Risk
-- CoreLogic's Industrywide Tool Covers Over 30,000,000 Loans, 190,000 Brokers --
SAN DIEGO, March 28, 2006 – CoreLogic's agent management tool, ThirdParty Scorecard™, is quickly becoming the de-facto standard for broker management with more than 30 million loans and 190,000 brokers in its database. CoreLogic, a leading provider of mortgage risk management tools, serving 90 of the top 100 lenders in the nation, announced the growth of ThirdParty Scorecard™, a software tool that evaluates and scores the risk associated with an agent’s business, as part of its ongoing commitment stated in October 2005 to establish industry-wide agent assessment and management tools that elevate agent compliance standards and increase objective collateral decision making.
While a number of products available to the residential mortgage industry today evaluate various aspects of risk connected to the property or the borrower, ThirdParty Scorecard is the only tool that grades the broker, comparing their performance to industry and market area benchmarks. National City Mortgage Co., headquartered in Miamisburg, Ohio, has used CoreLogic tools to manage risk at the front end of their workflow for more than five years. Based in San Jose, Calif., First Franklin, a sub-prime wholesale lender, uses ThirdParty Scorecard to analyze the $29.5 billion in non-conforming loans that it funded in 2005.
“ThirdParty Scorecard has been a powerful tool for us to help National City identify those more risky pockets of our business,” said Kirk D. Bockoven, vice president, Special Investigations at National City Mortgage Co. “It provides real time data to the individuals analyzing the information and assists in making the right risk decisions on individual loans.”
ThirdParty Scorecard allows a mortgage originator to review a broker’s history and loan submission behavior, creating a summary report based on that information. The software leverages a nationwide database compiled from more than 80 lending organizations, mortgage insurers, investors and servicers. The collateral risk measure (CRM) and accompanying report expose potentially detrimental agent patterns, such as adverse selection, alerting the lender to consider additional or more extensive review.
"ThirdParty Scorecard makes a big difference in our ability to more accurately assess the right next steps for each loan we process,“ said Alice Carmack, senior vice president, credit quality at First Franklin. “By assigning a collateral risk metric on the broker bringing us the loan, we are able to better guide our workflow process."
ThirdParty Scorecard reduces overall loan default exposure by detecting higher risk agents at the front end of the loan review process. This proactive approach streamlines workflow and increases efficiency by accelerating agent approvals, while isolating a limited number of candidates for further investigation.
About CoreLogic
Sacramento, Calif.-based CoreLogic, A C&S Company, is the leading provider of collateral risk-analysis and management technology and services to the U.S. mortgage banking industry. Since 1997, the mortgage industry has relied on CoreLogic to enable risk management and workflow process support. Using CoreLogic technology, mortgage originators and investors are able to increase profitability and loan quality by making more informed lending and investment decisions. The CoreLogic suite of property information tools provides the data, comprehensive geographic coverage, ease-of-use and accessibility the mortgage industry needs. For more information about CoreLogic, visit www.corelogic.com.
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