CASE STUDY University Federal Credit Union Increases Loan Volume by $103M without Adding Processing Staff with Encompass
The challenge Provide the best service and rates to Fannie Mae, while keeping operation costs as low as possible. READ MORE
The solution Built one system of record which was the key to efficiency and a paperless workflow. READ MORE

The results Loan volume growth, double the productivity and a guaranteed closing advantage. READ MORE
The challenge
University Federal Credit Union (UFCU) was founded in 1936 by some enterprising professors and staff of The University of Texas at Austin. Over the years, UFCU has grown from a cigar box on the corner of a professor’s desk into the largest locally owned credit union in the area, with 17 branches throughout Austin and Galveston.

The institution has a strong mortgage lending division, which sells directly to Fannie Mae. As a credit union, UFCU’s mission is serving the well-being of its members. That means providing the best service and rates that it can, while keeping operating costs as low as possible.

To support that mission, UFCU moved to Ellie Mae’s Encompass® in 2006, then upgraded to Encompass Banker edition in June of 2010.
Institution Profile
  • University Federal Credit Union
  • Austin, Texas
  • Assets $1.8 billion
Challenge
  • Needed one system of record to increase efficiencies and originate more loans with fewer people.
Benefits
  • Increased loan volume by $103 million without adding processing staff
  • Reduced costs
  • Improved visibility and staff productivity
  • Can provide guaranteed 30-day close to seller
  • Complete compliance confidence
The solution
Broker to Banker Implementation “Our implementation from Broker to Banker went very smoothly. I single-handedly built the system while I was running our entire mortgage division, but, with great support from Ellie Mae®, the process was seamless.”
Compliance “ATR/QM was a non-event because everything we needed was already built into the system, and I expect the next wave of changes to be non-events as well, because of Ellie Mae. We recently breezed through a Fair Lending audit that four out of five credit unions typically fail. With Encompass, we know we’re doing things right.”
Configurability “One of the best things about Encompass is its configurability. You can pretty much do anything or build in anything that you want. I feel like every time we go in to the system with a need, we find something else that helps us streamline our processes.”
The results
But, two years later, did the move to Encompass Banker really deliver the results UFCU was hoping for? The facts speak for themselves.
$103M Loan Volume Growth, No Additional Processors

“From 2012 to 2014, we grew from $383 million to $486 million in loan volume, and we only added five people. Because of how we use Encompass, we were able to tremendously increase our volume without adding a lot of headcount.,” Adams said.
Productivity Double the Peer-Group Average

“My competitors ask their processors to process 12 or 15 files a month, while my processors handle 25 to 30. We’re also underwriting the same amount of files with three underwriters that other companies need six or seven underwriters to handle,” Adams said.
Guaranteed 30-day Closing for a True Competitive Advantage

“We now have the ability to close a purchase within 30 days and guarantee it to our sellers. Our competitors can’t even get it done in 45 days,” Adams said.
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