Each year, Mortgage Investors Group helps thousands of homebuyers select the home loan program best suited to their needs. Yet, few people outside of the mortgage lending industry understand the hard work happening behind the scenes that leads up to the memorable day when the borrower receives the keys to his or her new home. To commemorate National Mortgage Professionals Month this September, we’re sharing insights into the important roles each department plays in ensuring our borrowers are able to finance the home of their dreams. This week, we focus on the Compliance Department.
Our Compliance staff is made up of five experienced people who help the loan process stay on track and that the loan is valid and complies with federal and state regulations.
“We want to keep everything moving forward smoothly,” said Senior Vice President Cathy Neubert, MIG’s director of operations. “The Compliance Team is in the background, supporting the various major milestones in the timeline of a transaction as the production teams move toward closing.”
The Compliance department provides our Loan Officers and Loan Officer Assistants with instruction and assistance in generating the initial disclosure package and other documents needed to help our borrowers understand what their mortgage financing entails.
“The customer needs to know those very important points about the financing option – estimated payments and estimated cash needed to close – we want to help provide that critical information with as much accuracy as possible, given the information received,” Neubert said. “It’s important to do that early and in a timely manner for a positive borrower experience.”
The Compliance staff serves as reviewers, evaluators and consultants who work closely with other departments so that deadlines are met. They also assist with changes that can happen during the processing of the loan, keeping the financing in step with the customer’s needs. In addition, they also review a selected number of files before the closing for loan quality purposes.
“Making sure the borrower has received all the informational compliance documents and there is conformity to the program guidelines; as well as, employment has been reconfirmed are routine for the Compliance Team. We want to help avoid unnecessary delays due to incomplete items,” Neubert said. “Helping keep the closing on schedule is our objective.”
Federal regulation of the mortgage lending industry through laws such as the Truth in Lending Act, Fair Credit Reporting Act and Fair Housing Act dates back several decades. Over time, the laws have been revised and updated, and new regulations have been added. It’s our Compliance staff who keeps track of all the changes by attending conferences, seminars and continuing education courses. They, in turn, educate the rest of our company about how to stay compliant with the laws.
“The role of compliance has grown dramatically, especially in the last 10 years,” Neubert said. “That’s true not only at MIG, but across the industry. It’s important to keep a current and positive perspective for the most agile mortgage operation by embracing digital opportunities at every turn. It’s a new day for mortgage lending are MIG is embracing and taking every possible digital step.”
We are in the process, for instance, of evaluating how to take advantage of new educational opportunities offered by the Mortgage Bankers Association, such as its Certified Mortgage Compliance Professional (CMCP) Certification and Designation program.
We’re always doing our best to efficiently meet our customer’s needs and improve the way we do business, and that extends to using the latest technology to verify and validate loan characteristics through to eSignatures from our customers at all stages of the transaction. “The full eMortgage experience is on its way at MIG,” Neubert stated.
“One of the good things about being an independent mortgage banker is we only make home loans, the focus of the entire staff is on providing solid information to the customer in an as efficient manner as possible,” Neubert said. “We see efficiency and compliance with regulations as resulting in a good, positive borrower experience….the MIG standard!”