Finicity Releases Comprehensive Mortgage Verification Service for Simpler, Faster Borrowing Experience

While mortgage lending has rapidly moved toward a digital experience, the verification process has largely remained a manual, paper-driven process.

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Business Wire, Inc.Business Wire, Inc.
Retrieved on: 
Thursday, February 25, 2021
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Professional services, Technology, Residential Building & Real Estate, Software, Finance, Construction & Property, Banking, Mortgage industry of the United States, Finance, Loans, Money, Fannie Mae, Economy of the United States, Mortgage loan, Mortgage, Verification, Subprime mortgage crisis, Mortgage underwriting in the United States
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United States, UTAH, LOS
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Summary
Key Points: 
  • While mortgage lending has rapidly moved toward a digital experience, the verification process has largely remained a manual, paper-driven process.
  • The Finicity Lend Mortgage Verification Service is accepted by both GSEs as a valid demonstration of a borrowers assets, income and employment.
  • Fannie Mae accepts Finicity mortgage verification reports for automated assessment within Desktop Underwriter validation service through Day 1 Certainty.
  • Finicity Lends Mortgage Verification Service will be available across multiple LOS/POS platforms.


Finicity, a Mastercard company and leading provider of open banking solutions, today announced its one-touch Mortgage Verification Service (MVS), enabling lenders to provide the simple, easy experience that today’s consumers and lenders are looking for in mortgage origination. The solution allows consumers to permission data, quickly and easily, so lenders can verify assets, income and employment in a single interaction with borrowers that takes seconds or minutes instead of days or weeks. The verification is accepted by both Freddie Mac and Fannie Mae in place of cumbersome manual loan documentation.

While mortgage lending has rapidly moved toward a digital experience, the verification process has largely remained a manual, paper-driven process. By reducing the burden of manual methods of documentation, Finicity may help shave 8-12 days off the origination process for rapid loan closing while also increasing accuracy, improving profitability, and creating a better experience for both lenders and borrowers.

Through Finicity Lend’s Mortgage Verification Service, Finicity’s open banking platform leverages high value data available from financial institutions and payroll processors to provide accurate, real-time insights into a borrower’s current assets, income and employment. The solution offers flexible flows for different mortgage lending use cases — from refinancing to new purchases, qualified to non-qualified mortgages.

This innovative service creates a simple, fast, FCRA-compliant verification experience that empowers consumers to digitally permission use of their financial data with one touch, through Finicity Connect, to rapidly validate key financial suitability requirements of a mortgage application. This is perfectly aligned with Finicity’s mission to empower both lenders and consumers while helping consumers benefit more from their own financial data.

“We are streamlining mortgage lending significantly, reducing costs and shortening the time needed for the overall loan origination process,” said Finicity CEO and Co-founder Steve Smith. “With Finicity Lend, our ultimate goals are to help mitigate risk for lenders, create an improved consumer experience, and ultimately increase overall financial inclusion by helping borrowers better prove their creditworthiness.”

GSE Accepted

The Finicity Lend Mortgage Verification Service is accepted by both GSEs as a valid demonstration of a borrower’s assets, income and employment. Lenders are able to use Finicity verification reports for automated assessment and receive representation and warranty relief using Freddie Mac Loan Product Advisor® asset and income modeler (AIM). Fannie Mae accepts Finicity mortgage verification reports for automated assessment within Desktop Underwriter® validation service through Day 1 Certainty®.

“Freddie Mac has been at the forefront of advancing the digital mortgage experience that today's borrowers have come to expect," said Rick Lang, Single-Family Vice President of Strategy and Integration at Freddie Mac. "Our data-driven strategy helps produce safer loans and reduces the paper chase so our clients can speed up underwriting and bring borrowers to the closing table sooner."

“At Fannie Mae, we’ve been pioneering the digital technologies that will make the borrowing experience faster and easier for borrowers,” said Chuck Walker, Vice President Digital Alliances and Distribution at Fannie Mae. “Manually providing verification documents is a time-consuming and stressful process, so addressing asset, income and employment verification is central to moving the industry toward the ideal digital mortgage.”

What the Industry is Saying

Finicity clients and partners are already weighing in on Finicity’s Mortgage Verification Services (MVS):

“At Sierra Pacific Mortgage, we were excited to be a participant in the rollout of this enhancement to the lending process,” said Gary D. Clark, Chief Operating Officer at Sierra Pacific Mortgage. “Continued improvements to the lending process is an important initiative at Sierra Pacific Mortgage, and one that elevates the consumer experience is a win-win for everyone.”

“As we began utilizing this new service, it quickly became clear how much it would improve the lending process for both our loan officers and borrowers," said Patrick Gardner, Principal of Vellum Mortgage. "Digitizing the mortgage process not only creates a faster, smoother experience for the borrower, but we’re also seeing significant cost savings and an increased volume of loans that we’re able to close.”

“For consumers, our focus is on delivering a fully mobile, fully seamless homeownership journey that’s centralized in one connected platform. For lenders, SimpleNexus promises flexible efficiency that doesn’t get in the way of doing business. Our integration with Finicity Lend’s Mortgage Verification Service delivers on both fronts with GSE-accepted verification of assets, income and employment in one easy interaction,” said SimpleNexus Chief Product Officer Shane Westra.

See MVS in Action:

Finicity Lend’s Mortgage Verification Service will be available across multiple LOS/POS platforms. See our MVS solution live at the following events:

To learn more about Finicity and its commitment to fast, reliable and high-quality data, visit www.finicity.com.

About Finicity

Finicity, a Mastercard company, helps individuals, families, and organizations make smarter financial decisions through safe and secure access to fast, high-quality data. The company provides a proven and trusted open banking platform that puts consumers in control of their financial data, transforming the way we experience money for everything from budgeting and payments to investing and lending. Finicity partners with influential financial institutions and disruptive fintech providers alike to give consumers a leg up in a complicated financial world, helping to improve financial literacy, expanding financial inclusion, and ultimately leading to better financial outcomes. Finicity is headquartered in Salt Lake City, Utah. To learn more or test drive its API, visit www.finicity.com.

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