Business Glossary-Term List
Welcome to the MISMO Business Glossary - your online source of mortgage industry business terms and data point descriptions. Follow the links provided for Term Type; Focus Area; and Source descriptions; complete terms of authorized usage; and a more detailed description of the MISMO Business Glossary. Search tip: Use quotes for an exact search (e.g., "keyword or phrase").
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Search on:Ability to Repay (ATR) requires that a lender make a reasonable, good-faith determination before or when consummating a mortgage loan that the consumer has a reasonable ability to repay the loan, considering such factors as the consumer�s income or assets and employment status
Term Source: MISMO Life of Loan
Term Type: Other
Focus Area: #MISMOLifeOfLoan, #Origination
Process in which the Lender notifies the MI Company that the loan has closed and that the MI is requested to be activated.
Term Source: MISMO Life of Loan
Term Type: Process
Focus Area: #MISMOLifeOfLoan, #Origination
Process of reviewing that the Lender information is accurately listed as the Mortgage Loss Payee on each of the subject property's insurance policies. The addition of the loss payee clause helps protect the Lender from loss, after closing, in the event the subject property is damaged by a covered event.
Term Source: MISMO Life of Loan
Term Type: Process
Focus Area: #MISMOLifeOfLoan, #Origination
The process of setting up and managing fee names, fee amounts and other rules for use in systems.
Term Source: MISMO Life of Loan
Term Type: Process
Focus Area: #MISMOLifeOfLoan
The cyclical process of receiving principal, interest, taxes and insurance (PITI) payments from borrowers, applying the funds to a loan's financial record and ensuring that these payments are properly reported and disbursed to Investors, Insurers, Tax Agencies and others as appropriate.
Term Source: MISMO Life of Loan
Term Type: Process
Focus Area: #MISMOLifeOfLoan, #Servicing
The process of calculating and applying loan payoff proceeds and clearing the loan from the servicer's portfolio.
Term Source: MISMO Life of Loan
Term Type: Process
Focus Area: #MISMOLifeOfLoan, #Servicing
The process of determining rules and assessing fees for early payoff of a loan based on the terms of the mortgage note.
Term Source: MISMO Life of Loan
Term Type: Process
Focus Area: #MISMOLifeOfLoan, #Servicing
The process of managing and marketing properties obtained through default on behalf of the investor or guarantor. Often an insurer will market a foreclosed property on their own behalf.
Term Source: MISMO Life of Loan
Term Type: Process
Focus Area: #MISMOLifeOfLoan, #Servicing
Process of applying for a mortgage loan, qualifying for the loan, and receiving a decision to approve or deny the loan request.
Term Source: MISMO Life of Loan
Term Type: Process
Focus Area: #MISMOLifeOfLoan, #Origination
The process of applying the funds towards payoff of a loan.
Term Source: MISMO Life of Loan
Term Type: Process
Focus Area: #MISMOLifeOfLoan, #Servicing
The process of analyzing credit scores to determine risk within the portfolio.
Term Source: MISMO Life of Loan
Term Type: Process
Focus Area: #MISMOLifeOfLoan, #Servicing
A system that retrieves relevant data such as loan application information and borrower credit history to arrive at a computer-generated recommendation for the loan underwriting recommendation.
Term Source: MISMO Life of Loan
Term Type: Other
Focus Area: #MISMOLifeOfLoan, #Origination
The process of establishing a loan on a servicing system, either through new loan origination and set-up or via a servicing transfer.
Term Source: MISMO Life of Loan
Term Type: Process
Focus Area: #MISMOLifeOfLoan, #Servicing
Process in which the Borrower(s) inform the Lender that they do not wish to proceed with the loan origination process.
Term Source: MISMO Life of Loan
Term Type: Process
Focus Area: #MISMOLifeOfLoan, #Origination
Process of calculating the minimum required amount of any insurance required by the Lender based on loan amount, dwelling replacement costs, or environmental factors. The Lender confirms the Borrower has obtained sufficient coverage on each policy to meet the Lender's minimum coverage and deductible requirements.
Term Source: MISMO Life of Loan
Term Type: Process
Focus Area: #MISMOLifeOfLoan, #Origination
Process of reviewing documentation to confirm that all outstanding closing conditions are satisfied.
Term Source: MISMO Life of Loan
Term Type: Process
Focus Area: #MISMOLifeOfLoan, #Origination
Process of Closing and Funding a mortgage loan.
Term Source: MISMO Life of Loan
Term Type: Process
Focus Area: #MISMOLifeOfLoan, #Origination
Process of collecting and confirming both internally and with third parties, the data that will be used to produce a Closing Disclosure (CD).
Term Source: MISMO Life of Loan
Term Type: Process
Focus Area: #MISMOLifeOfLoan, #Origination
Process of reconciling the loan fees with the Settlement Agent to ensure accuracy of the final Closing Disclosure (CD).
Term Source: MISMO Life of Loan
Term Type: Process
Focus Area: #MISMOLifeOfLoan, #Origination
Process of collecting and confirming data both internally and with third parties that will be used to produce a Closing Disclosure (CD) for the Borrower and the Uniform Closing Dataset (UCD) for GSE delivery.
Term Source: MISMO Life of Loan
Term Type: Process
Focus Area: #MISMOLifeOfLoan, #Origination
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