We all know that use of technology has already taken roots on the loan origination side of the business, but we are now seeing technology being applied slowly but steadily for mortgage servicing tasks as well. The Fannie Mae CEO, in a recent article, mentioned that they too are now devoting attention to mortgage servicing tech.
It’s time for all mortgage servicers to look beyond the current legacy systems and identify more suited technology for specific tasks. One area that they spend an inordinate amount of time today is in keeping track of the thousands of overlapping taxing jurisdictions spread across the country, and ensuring that taxes are paid, and contacting the municipalities to understand overdue amounts and penalties when they are not. Moreover, when it comes to tax servicing, commercial portfolios are much more complicated than residential ones, due to the high loan amounts and multiple parcels. Unlike residential mortgage loans, where one or more taxing authorities will assess taxes against a single property, one commercial loan can contain multiple properties with their own specific real estate tax requirements, potentially spread across multiple locations. Hotel chains, for instance, may take out large commercial mortgage loans on properties in many different states. This also requires the servicer to track taxes in multiple jurisdictions and apply them to a single loan in their portfolio. Legacy systems today are typically able to provide data down to the loan level only, whereas servicing commercial loans requires a platform and software that can access data down to the property level, and maintain payment due dates, etc. Also any miscalculation of amounts, or unpaid amounts, can have a considerable financial impact
As mortgage servicers become consumed trying to manage these intricacies, they are diluting their core focus of helping customers and delivering superior customer service. Instead it is better for them to take advantage of technology platforms which are customized for real estate tax servicing, and which collect and maintain updated tax information from counties and cities, and which can handle tax servicing for small to large portfolios, and are also cost effective.
Coforge BPS is one such business process transformation company specializing in mortgage servicing solutions and has the right technology and solution for servicers to reduce unnecessary risks in real estate tax servicing, while saving costs. RETS (Real Estate Tax Service), a single instance web based real estate tax servicing platform is built to meet critical real estate tax servicing requirements for commercial and residential portfolios. It covers full service escrow & non-escrow reporting, payment processing, delinquent letter service, delinquent tax search, and delinquent tax tracking. Moreover, the platform’s unique abilities to offer a flexible payment structure, customization based on business needs and upfront visibility of delinquent portfolios is being utilized by 2 of the top 5 U.S. Commercial and Multi-family Servicers.
Coforge BPS also delivers customizable services and technology driven products to other industries such as mortgage, banking, cards and payments, lender placed insurance and title insurance using its pool of 3,000+ professionals. Since 2001, it has serviced 100+ US-based customers from its ISO 27001:2013 (Information Security), ISO 9001:2015 (Quality), SSAE (SOC 1&2), PCI DSS V3.2, ISO 22301:2012 (Business Continuity), HIPAA & Reg AB certified locations across U.S., Philippines, and India.
To know more, write us at CoforgeBPS@coforge.com and schedule a discussion today! You can also visit our website.