Published October 12, 2018
New Penn Financial is expanding its use of technology that helps it buy home loans that don’t meet the Bureau of Consumer Financial Protection's "qualified-mortgage" standards.
The web-based tool, developed by financial-technology firm LoanScorecard, allows mortgage companies to quickly deter-mine whether prospective borrower accounts would meet their underwriting standards. New Penn, which has been using the program internally, now is making it available to the corre-spondent lenders that originate the receivables it purchases.
The Plymouth Meeting, Pa., company is deploying LoanS-corecard’s system, dubbed Portfolio Underwriter, in hopes of expanding its SMART Loan Services program, which targets borrowers with damaged credit.
LoanScorecard’s technology is being used in a similar way by New Penn rival Deephaven Mortgage, which last month intro-duced a web-based tool for mortgage brokers called Identi-Fi AUS.
In July, New Residential Investment acquired New Penn and its parent, Shellpoint Partners.