CoreLogic and Ellie Mae announced that the CoreLogic LoanSafe Risk Manager has been added to the due diligence/quality assurance services integrated into Ellie Mae Total Quality Loan Program.

TQL is an initiative designed to further enhance the loan quality, compliance and salability of loans that are originated through Ellie Mae’s Encompass360 mortgage management software system.  TQL offers a suite of services and secure, tamper-proof technology that enables users to share the findings and data from those services with investors and other stakeholders in the industry supply chain.

“We are extremely pleased that our LoanSafe offerings have been selected as a mission-critical component of TQL,” said Tim Grace, senior vice president of product solutions at CoreLogic.  “We believe that an integrated, bundled offering, like Ellie Mae’s TQL, will enhance the way mortgages are originated, reviewed and sold.”

CoreLogic risk management tools are used to originate over 80 percent of all mortgages initiated in the United States.  LoanSafe Risk Manager has two components: an automated collateral review tool that assesses appraisal quality and evaluates the early payment default and loss severity risk of each mortgage (LoanSafe Collateral Manager); and an industry leading fraud detection tool that employs patented, pattern-recognition fraud scoring and unmatched consortium and data alerts (LoanSafe Fraud Manager). Both tools leverage the vast property, loan and fraud databases of CoreLogic, the company’s automated valuation models, as well as data from the CoreLogic Fraud Consortium Database of over 90 million loan applications.  LoanSafe Risk Manager provides lenders and investors with predictive collateral and fraud risk scores and alerts. Large and small lenders select these products for their predictability and ease of use.

In addition to LoanSafe Risk Manager, the other tools integrated into TQL include: Ellie Mae’s Encompass Compliance Service, an automated compliance service; the Encompass 4506-T Service; and Fannie Mae's EarlyCheck, a delivery data check process that is being integrated and that identifies issues that could impair the loan’s salability early in the process and prior to loan delivery.

“Ellie Mae has collaborated with a number of secondary market investors to understand their needs while shaping the program,” said Richard Roof, Ellie Mae’s senior vice president of business development.  “Collateral risk and fraud detection are two of the must-have capabilities that have been mentioned time and again, and investors asked to have the CoreLogic risk tools integrated into TQL.  As a result, we are very excited to add the CoreLogic LoanSafe Risk Manager as a standard feature of TQL.”

Roof added, “We are excited to expand our TQL capabilities: one of the nation’s largest investors went live on TQL in October and a number of other large investors are actively evaluating the program, as are many of our largest correspondent clients.  TQL is an important initiative for Ellie Mae.”