Enabling a Quick and Accurate Foreclosure Process

Business Challenge

Mortgage Loan Servicers face challenges in keeping up with the demands of the legal process that requires them to review all legal filings for processing foreclosures in the judicial system. Servicers routinely lag behind on completing the legal package reviews in a timely manner, or overspend on the human resources assigned to these review tasks. Delays often cause the information listed on the legal documents to become outdated, necessitating revisions by the legal firms and resulting in additional costs.

If the legal filings are not carried out in time, regulatory authorities or investors impose fines on loan servicing firms, resulting in further costs and delays in completing the foreclosure process.

Our Solution – OARS for Foreclosure Affidavits Validation

OCR-based Affidavit Review System (OARS) by Visionet is an Enterprise Class solution which facilitates automated validation of foreclosure affidavits to ensure that borrower and loan information listed on the legal documents is accurate. The system employs OCR technology to glean borrower and loan information from legal documents, and compares it with the original loan documents and system data. The results of this automated comparison, and any discrepancies discovered through the automated review process, are presented to the user so that all legal submissions are reviewed by a person before the documents are signed. OARS makes the whole process extremely efficient.

This is how Visionet’s OARS works:

Review Workflows

OARS uses workflow based assignment to assign legal package review and validation tasks based on each user’s workload and role specialization. OARS measures individual and team level productivity and allows for departments to track and meet each process’ SLA.

Rules Based Validation

OARS uses built-in business rules to do a three-way compare between:

  • Loan data from the servicing system (out of the box support for MSP data),
  • data captured via OCR from loan documents (Mortgage, Notes, Assignments etc.),
  • and data captured via OCR from legal packages

This ensures that legal documents contain the most accurate data. Business rules are also used to validate data integrity to ensure that loan data is correctly computed and listed on legal documents.

Support for State and Local Legal Templates

OARS provides support for OCR of a number of state and local legal document templates out of the box, and Visionet facilitates rapid configuration of OCR document templates for new or updated state and local documents as part of the system administration and maintenance processes.

Evidence of Due Diligence

OARS captures all user actions and data updates, and maintains a complete audit trail for both. This complete history provides comprehensive evidence of the due diligence carried out by the servicer before legal submissions are made.

Dashboards and Reports

OARS provides a comprehensive dashboard to managers and executives to provide:

  • Real-time information on all the loans processed in the system
  • Useful trend analysis for accuracy of information in the documents
  • Analysis of patterns of errors discovered during the process

This allows inefficiencies in the process to be corrected over time, resulting in continual improvement in the accuracy of legal submissions.

OARS also provides a number of work management and loan status reports to facilitate process management by the servicer.

Pay as you go Pricing

Visionet provides OARS software in the cloud through a flexible “pay as you go” pricing model, which eliminates the need for a dedicated internal infrastructure and converts the servicer’s cost model from fixed price and capital-intensive to variable price and capital-efficient.

Visionet offers a comprehensive range of solutions and services for mortgage and title firms. To learn more, please visit the Visionet Mortgage microsite.