Top QC Findings Show Servicers Plagued by Missing Documents
ncarol.com/10120802

SALT LAKE CITY - ncarol.com -- Missing documents are to blame for many of the most frequent QC findings that plague mortgage servicers, a MetaSource analysis of audit results shows.

Bret Cline, Servicing QC Manager at MetaSource, a leading provider of workflow automation and compliance solutions for the mortgage industry, said many of the defects found were really cases of missing documentation, not failures to complete underlying tasks. For example, a missing flood insurance finding may have occurred due to missing flood insurance documentation rather than a missing policy.

While missing documentation was the culprit for many findings, it wasn't the only one. Due to last year's pressures of record loan volumes and pandemic-driven forbearance requests, many servicers were left scrambling to keep up. And, in turn, they struggled with loan set-up details and oversights.

More on ncarol.com

• L2 Aviation and Gotonomi Extend UAV Connectivity Beyond Cellular Reach
• Re:InvestorHub Launches the First AI-Powered Operating System Built for Real Estate Investors
• Nadi Plumbing Leads Charlotte in Private Fire Hydrant Services, Eyes Regional Expansion
• FindCostSeg Launches Nationwide Directory for Cost Segregation Providers
• Master Of Science, Juggernaut Of The Screen: Landon Brittain Emerges As Hollywood's Most Unlikely Leading Man

Among the most common set-up deficiencies were missing details and due dates for the payment of taxes and insurance. This is a problem that can lead to double payments and shortfalls, not to mention, damaged servicer-borrower relations.

The End of CARES Act Forbearance and Foreclosure Moratorium Could Extend Servicers' Obstacles

While the pandemic created some unprecedented obstacles, Cline cautions that servicers' difficulties are not over. When the CARES Act forbearance window ends, there could be "tens of millions of loans in foreclosure," he said. Servicers who do not improve their processes are likely to see their amount of missing documentation increase, which will further compound their obstacles to overcome.

The following are the top 3 findings identified in MetaSource's analysis, which was drawn from thousands of servicing QC audits conducted over the past year:

1. Incorrect set-up and timely premium payment of taxes, insurance and mortgage insurance
2. Missing or incomplete lien release documentation in accordance with applicable state and county guidelines
3. Failure to post mortgage payment within 24 hours of receipt

The complete list of top servicing QC findings can be found here.

More on ncarol.com

• Black Dog Venture Partners and VC Fast Pitch to Host "San Francisco Investors and Innovators" Networking Event
• New Book, The KI of Marketing, Helps Small Businesses Grow Without Trying to Outspend Bigger Competitors
• KayeDinero Expands Instrumental Catalog With New Music Released Through I Love Food Media
• Food Journal Magazine Focuses Its Los Angeles Dining Coverage Across Three Editorial Verticals
• Where Do Missouri Plane Crashes Really Happen? Not Where You'd Think

About MetaSource, LLC

MetaSource is a Digital Transformation Solutions provider, focused on Business Process Outsourcing (BPO) / Business Process Management (BPM) services integrated with Enterprise Content Management (ECM), workflow solutions, compliance services and customer experience processes. With offices in eight U.S. states and over 800 employees, MetaSource helps its clients manage risk, improve quality, increase efficiency and realize their most important goals – with special expertise serving the mortgage industry. MetaSource's mortgage services include quality control (QC) audits (pre-fund, post-close, servicing, MERS), lien release, whole loan purchase reviews, and cutting-edge technology. MetaSource solutions enable its clients to focus on their core business while MetaSource does the rest. More: https://mortgage.metasource.com