FormFree Holdings Corp., a provider of automated deposit and asset verifications, announced Oct. 13 that recent GSE guideline changes allowing third-party verification of assets and deposits will allow AccountChek to gain significant market acceptance as the first and only patented verification of assets and deposits (VODA) solution in the marketplace.
The Sept. 30 update to the Fannie Mae Single Family Selling Guide added language that stated verification of assets (VOA) from third-party vendors now would be accepted. Among other requirements, the verification must include information consistent with the information that would be provided on a standard VOA form or bank statement. AccountChek, the mortgage industry’s only patented-protected, automated VOA solution, includes this information in its proprietary reports. The new guideline was followed by similar changes from other mortgage investors such as PennyMac.
AccountChek replaces the need for borrowers to submit paper bank statements that show they have the financial resources to qualify for a mortgage.
AccountChek collects data directly from financial institutions and generates reports in minutes, creating time savings for borrowers and lenders. By eliminating the need for paper bank statements, AccountChek also helps reduce buyback exposure and fraud, while providing lenders with an easy solution for complying with new “ability-to-pay” rules.
“We are thrilled that the market has responded so positively to our VODA solution,” FormFree CEO Brent Chandler said. “Automated asset verifications are a vast improvement from the time-consuming, paper-based process of verifying a borrower’s bank statements, plus it is the single most effective means of eliminating asset fraud in the origination process. These recent changes further cement our position as the market leader in providing automated verification solutions.
“As a result of these guideline changes, lenders can feel more confident than ever using AccountChek,” Chandler said. “When combined with our recent Ellie Mae Encompass and MeridianLink integrations, our reseller relationships with Veri-Tax and UPF Services, and our partnerships with a growing number of mortgage lenders, we are having an ever-increasing role in the digital age of lending.”