Custom Automated Underwriting System Allows Portfolio Lender to Improve Efficiency and Ensure Mortgages Are Manufactured Consistently
IRVINE, January 25, 2017 – LoanScorecardTM, a leading provider of automated underwriting and compliance solutions, announced today that Central Pacific Bank, a leading residential mortgage lender in Hawaii and the primary subsidiary of Central Pacific Financial Corp., has implemented Custom AUS as its automated underwriting system (AUS).
Central Pacific Bank provides a full range of mortgage services that include retail, portfolio and correspondent lending, as well as investment and trust services through a network of 35 branches in the state of Hawaii. The bank has more than $5 billion in assets.
With Custom AUS from LoanScorecard, Central Pacific Bank can now customize underwriting decisioning and safely originate compliant assets. The system delivers an underwriting decision to third-party originators (TPOs) and provides an assessment report that includes a breakdown of every rule applied and whether the loan passed or failed a particular guideline—creating an audit trail for underwriting and ability-to-repay decisions and helping to ensure consistent, transparent application of credit policy.
"Approximately 35 percent of our business is portfolio lending, so it is critical for us to have a system in place that allows us to easily define our underwriting guidelines and ensures any and all exceptions are handled in a consistent manner," said Kirsten Kemper, Vice President, Capital Markets Manager at Central Pacific Bank. "We expect Custom AUS to make us more efficient, reduce errors and provide better feedback to our sales team."
"The new Home Mortgage Disclosure Act (HMDA) reporting requirements go into effect in about a year and the status quo of manual underwriting is insufficient to be in compliance," said Ben Wu, Executive Director at LoanScorecard. "Before the rule goes into effect, many forward-thinking lenders, like Central Pacific Bank, are putting systems in place now that will ensure mortgages applied for at the end of 2017 and closed in 2018 are manufactured consistently and compliantly mitigating any fair lending risk."
About LoanScorecard
LoanScorecard is a leading provider of non-agency AUS, loan pricing solutions and borrower point-of-sale designed to meet today's regulatory challenges and capitalize on current market opportunities. LoanScorecard helps institutions address CFPB regulations through its QM Findings, the industry's first qualified mortgage (QM) engine, which has rendered more than 5 million QM findings reports to-date and supports banks and credit unions preparing for the upcoming impacts of CECL.
For more information, visit loanscorecard.com or call 800-617-0892.
For press inquiries, please contact:
Jessica Ruiz-Krout
Campbell Lewis Communications
212.995.8058
jessica@campbelllewis.com
