Reduced errors in mortgage underwriting helping in improving loan salability

The Client

A Regional U.S. Bank

Challenge

• Unable to meet the required quality threshold set by ‘Credit Risk Review’ (CRR) teams
  • • Significant Category – 98%
    • Moderate Category   – 90%
    • Minor Category            –  75%
• Core underwriting team utilized for regular underwriting review to meet the thresholds
• Inability to perform quality audits of underwriting functions before the final CRR audit
  
  

Solution

• Identified gaps in existing process documentation and created a plan for enhancing the existing documentation
• Identified the need to provide actionable analytics from the QC’s completed by Coforge
• Engaged with the CRR team to understand objective of the audits
  
  

Execution

• Prepared an audit checklist
• Rigorous process training conducted for the team
• Standard Operating Procedures and process maps created
• Weekly and monthly analysis on the audits performed and actionable insights shared with the customer's underwriting team Enabled the Bank in meeting investor guidelines requirements and improving loan sale-ability

Value Delivered

• • Enabled the Bank in meeting investor guidelines requirements and improving loan sale-ability
    • No errors reported in the ‘Significant Category’ by the bank’s third line of defense (CRR Reviews)
    • Adhered to the error threshold set by the CRR team for Moderate & Minor error categories
  • Eliminate the recurrence of errors
    • Weekly analysis shared with the business unit to take appropriate preventive measures