The Focus on Exchanging Information in Real Time
How can lenders manage the data exchange and ensure accuracy and transparency in that process?
It's been a great opportunity for moving the industry forward from a digital perspective. From the regulators to the customer experience perspective, everybody is now used to knowing something happens at the same time that it happens. It's real-time all the time, whether it's data or payments. That's the expectation.The first opportunity is to get the data directly from its source and keep it in an electronic format so there's not any mistakes in re-keying it or understanding what the original data was. Trying to keep data in its original form, if you can get it electronically straight from the source, and then being able to reconcile it if you can't get it right from the source or if you have gotten it from the source, but maybe it came through another party such as the broker or wholesaler, but being able to compare that data with other sources as well is part of reconciling it. Certainly the MISMO standards for data have helped tremendously for this, especially with the 3.X with one common data dictionary. I think that's really been a huge catalyst for this data exchange. It's certainly been the centerpiece of the GSEs' programs for uniform mortgage data.
We have regulations, such as TRID or HMDA, and the GSE requirements for more data, so using the common data language is very helpful, but not everything is necessarily going to be in that language at this time. So how can they still source that data where applicable but also try and use that same investment that they're making to make the data exchange faster and more reliable in terms of accuracy? How can they use that as a way to really rethink their customer experience? One of the things we're seeing is, between HMDA and particularly the uniform closing data set collection requirements, how to rethink the closing process-what information is being provided by whom, and trying to get them to provide it in electronic means, preferably in the same MISMO language. But at minimum, just enabling the electronic exchange of that information, including the borrower in that exchange of information, and then certainly that lends itself toward revisiting the e-closing, e-mortgage process, which is something that Fiserv has been involved in since 2005. Read More Here.