RESPA-TILA
APRIL 2015
INDUSTRY TRENDS
ELLIE MAE NEWS
WORD ON THE STREET
Encompass REPORT

TRENDS, TECHNOLOGY UPDATES AND USEFUL NEWS FOR MORTGAGE PROFESSIONALS
Encompass and RESPA-TILA – New Integrated Disclosures Solution Set to Launch
This month, Ellie Mae® launches its new RESPA-TILA integrated mortgage disclosures solution to clients as part of its Encompass® all-in-one mortgage management solution.

The new solution is part of Ellie Mae’s ongoing RESPA-TILA Readiness Initiative designed to prepare its clients for the Consumer Financial Protection Bureau’s RESPA-TILA Integrated Mortgage Disclosures Rule that takes effect on August 1st, 2015.

With its new comprehensive RESPA-TILA integrated disclosures solution, Ellie Mae has reduced the impact of the new regulation to its clients with new system functionality that automates workflow and the creation and management of disclosures. Included within new release of Encompass are enhancements that integrate evidence of compliance with disclosure timing and fee variance requirements.

“There is a huge difference between creating new disclosure forms and integrating them seamlessly into a lender's workflow, which is what Ellie Mae has done,” said Angela Cheek, vice president and counsel of product compliance for Ellie Mae. “Lenders that are relying on a separate system or vendor for disclosures could find the process disjointed and possibly non-compliant. As an all-in-one solution, however, Encompass does not have that problem.”

For the past year, Ellie Mae has been preparing its clients and the industry for the new regulation through its ongoing RESPA-TILA Readiness Initiative. Its efforts will continue to include:
  • Hands-On Training – In-depth, hands-on, one-day training events have been scheduled in seven cities beginning in May and running through July.

  • Online Training – Ellie Mae will provide a series of online eLearning opportunities to help clients to learn how to comply with RESPA-TILA at their own pace.

  • AllRegs® RESPA-TILA Policy Manual & Readiness Kit – Developed by AllRegs by Ellie Mae, the RESPA-TILA Policy Manual & Readiness Kit will assist lenders on addressing necessary changes to their business practices as a result of the new disclosure rule.

  • Free RESPA-TILA Educational Webinars – A series of free monthly compliance education webinars hosted by Ellie Mae compliance and product executives as well as outside legal and compliance experts.

  • Compliance Central – Free online resources including white papers, articles and blogs designed to help mortgage professionals understand and plan for the new regulation.
Ellie Mae has also participated in Mortgage Bankers Association workshops to educate lenders on the new changes.

More details are available in the official press release. It may be accessed here.

RESPA-TILA – An Essential Toolkit for Effective Preparation
For so long, it seemed like it was off in the distance, but now it is almost here. RESPA-TILA is just a few short months away, so it is time to be prepared. To help lenders meet the CFPB’s recommendation to put an implementation plan in place, AllRegs® by Ellie Mae® created the Integrated Mortgage Disclosures (RESPA-TILA) Policy Manual and Readiness Kit. It is a complete plan consisting of a resource guide, fact sheet, and a comparison matrix identifying the key job roles and functions affected by the change. The kit can be personalized to align with a company’s brand, and can even be customized to include a business’ own internal policy.

The Readiness Kit comes bundled with the RESPA-TILA Policy Manual. As the latest addition to the AllRegs library of policies, the RESPA-TILA Policy Manual is a 56-page document containing everything a company needs to articulate its understanding and adherence to the new rule.

Many federal offices require implementation or access to this manual, including:
  • CFPB - Consumer Financial Protection Bureau
  • FNMA - Fannie Mae
  • FHLMC - Freddie Mac
  • FHA - Federal Housing Administration
  • VA - Veteran's Affairs
  • USDA - United States Department of Agriculture
  • Federal Reserve Board
The manual summarizes the Rule, provides definitions and other key requirements, and describes the timing and allowable variances for each disclosure. Lenders may click this link to learn about product benefits and examine the Table of Contents and selected pages.

Mortgage lenders may order their manual here. For those interested in more detailed RESPA-TILA preparation, it recommended they visit the AllRegs by Ellie Mae website at allregs.com to arrange a demo and uncover specific programs that can help solidify their company’s compliance.

Ellie Mae Webinar Recordings – RESPA-TILA Preparedness and Education On-Demand

As lenders work hard to get their RESPA-TILA ducks in a row, many are finding that there is more to learn than they expected. But information can be confusing, hard to find or costly. But Ellie Mae® puts a premium on RESPA-TILA education, so they offer their library of webinar recordings – including their six-part RESPA-TILA preparedness series – for free on-demand viewing.

The webinars in the six part RESPA-TILA series are:
  • RESPA-TILA: Integrated Mortgage Disclosure Rules 
  • RESPA-TILA: Delivery Timing & Tolerances
  • RESPA-TILA: The Loan Estimate – Parts 1 & 2
  • RESPA-TILA: The Closing Disclosure - Parts 1 & 2

Other RESPA-TILA webinars available for viewing include:
  • RESPA-TILA Integration – Policy Impacts. Hosted by two AllRegs experts, Professional Services Group Manager, Joy K. Gilpin, and Vice President, Director of Compliance, Richard Triplett, RESPA-TILA Integration – Policy Impacts shines a light on the necessity of having up-to-date policies, procedures and documentation that will satisfy compliance when the RESPA-TILA takes effect on August 1, 2015.

  • RESPA-TILA: Q&A Townhall. As an additional resource, the Townhall slide deck is available for viewing and download as well. It may be accessed here.
These are just a small number of the webinars Ellie Mae hosts each year, all free to the industry and focused on helping lenders navigate compliance issues, improve efficiencies and examine emerging trends and technologies.

More information, as well as informational videos and whitepapers, are available at Ellie Mae Compliance Central.

RESPA-TILA – A Simple Guide for Taming a Complex Beast
RESPA-TILA is going to shift everything. Taming this regulatory beast means updating workflows, fine-tuning processes, and elevating quality assurance. Delivery times, tolerances and GFEs will all change. But it can be done – there are ways to tame RESPA-TILA without sacrificing an ounce of compliance, quality or efficiency.

Ellie Mae has prepared an informative RESPA-TILA Taming Guide. Available for download, it outlines six tips that can help lenders better understand – and therefore manage – RESPA-TILA.

The taming tips will help lenders:

1.    Know where RESPA-TILA comes from
2.    Know what they are up against
3.    Prepare for all of the new processes, definitions and deadlines
4.    Start preparing now
5.    Ask the right questions about their LOS
6.    Learn how to lean on the LOS and compliance leader

Compiled by Ellie Mae’s industry-recognized compliance experts and counsel, the guide delivers its detailed information in a concise, clear, easily accessible format that busy lenders will appreciate.

It is available for download now, and is recommended for anyone that understands the enormity of RESPA-TILA and recognizes that smart preparation is the only way they can tame this looming regulatory beast.

Download the Ellie Mae RESPA-TILA Taming Guide here.

Tap into Mortgage Trends
Get vital mortgage industry data and insight into your hands every month with the Ellie Mae Origination Insight Report. The free monthly report mines its data from a robust sampling of closed loan applications that flow through Ellie Mae’s Encompass all-in-one mortgage management solution and Ellie Mae Network™.

Don’t miss a report – sign up to receive an email alert when new reports are published.


 “The Clear Winner” – Independent Bank Selects Encompass as their LOS
On April 7, 2015, Ellie Mae announced that Independent Bank has chosen Ellie Mae’s Encompass all-in-one mortgage management solution as its platform for originating mortgages.

Based in Ionia, Michigan, Independent Bank is a full-service mortgage lender with 64 branch locations throughout Michigan and $2.3 billion in total assets. The company had been using the same technology platform for originating mortgages since 1999. However, with new federal regulations requiring lenders to make major changes to the disclosures they provide borrowers, the company decided it was a good time to consider its alternatives, according to Russ Daniel, senior vice president of lending for Independent Bank.

After other lenders referred Independent Bank to Ellie Mae, company officials considered two alternatives in addition to Encompass by Ellie Mae. After closely weighing the attributes and functionality of all three systems, Ellie Mae’s Encompass solution emerged as “the clear winner” due to its integrated compliance features and its ability to interface with Independent Bank’s core systems.

“One of the biggest benefits was that Ellie Mae’s Encompass is a fully-integrated, all-in-one solution with a huge focus on compliance,” Daniel said. “In fact, before we had even looked at Encompass, members of my team had been attending Ellie Mae’s free webinars on RESPA-TILA compliance. With these new lending requirements about to take effect, it’s a huge confidence booster to know we have a partner like Ellie Mae working behind the scenes to guide us through these changes.”

“The fact that more large regional banks are switching to Encompass because of its compliance features is a sign of how serious these upcoming regulatory changes are,” said Jonathan Corr, president and CEO of Ellie Mae. “Companies the size of Independent Bank do not change their mortgage platforms very often. The fact that they are choosing Ellie Mae demonstrates our ability to help lenders achieve loan quality, efficiency and compliance in every loan they sell.”

Ellie Mae’s New HQ – An Expanded Space for an Expanding Business
Last August, Ellie Mae announced it had signed a long-term lease for more than 100,000 square feet of office space that would be the site of its new corporate headquarters in Pleasanton, CA.

On April 13, 2015, they moved into the newly renovated top three floors of 4420 Rosewood Drive in the California Center, a corporate business park in the heart of the Bay Area’s fast-growing Tri-Valley area.
The company, which had occupied two smaller buildings in Pleasanton, nearly doubled their existing office space. The move was driven by the need to accommodate its growing workforce, which also has about doubled in size in the last two years to more than 500.

Ellie Mae employees now have access to a state-of-the-art fitness center, a large cafe with numerous food options, multiple conference rooms, several auditoriums with webcasting capabilities, and several more amenities added by the project’s new owner, Swift Real Estate Partners.

Ellie Mae also created a first-class Executive Briefing Center within its new headquarters as a demonstration of its strong commitment to its customers in the residential mortgage industry.

Sig Anderman, CEO and founder of Ellie Mae, said, “Our employees work hard and deserve the very best working environment, which is why we are excited to bring our headquarters team together under one roof in a single location with so many great amenities.” He added, “The additional space will enable us to continue to grow our staff to meet the needs of our expanding customer base.”

The new Ellie Mae address is:
 4420 Rosewood Drive, Suite 500
Pleasanton, CA 94588


Ellie Mae Q1 Financials to be Released Soon
Ellie Mae® (NYSE:ELLI) announced that it will release financial results for the first quarter ended March 31, 2015 following the close of the market on Thursday, April 30, 2015. The Company will host a corresponding conference call and live webcast at 4:30 p.m. Eastern Time on that day.

Investors may listen to the live conference call (ID 5180850) by dialing 888-542-1101 or 719-325-2302 at 4:30 p.m. Eastern Time on April 30, 2015. An audio replay of the call will be available through May 14, 2015 by dialing 888-203-1112 or 719-457-0820 and entering access code 5180850.

A live webcast of the call will be available on the Investor Relations section of the Company’s website at http://ir.elliemae.com.

Word on the Street – Wyndham Capital Mortgage on Success, Compliance and Encompass
Since we’ve set it up, we know it’s saved us hundreds of thousands of dollars. We couldn’t have been as successful as we are today without implementing Encompass in 2008.” – Jeff Douglas, CEO, Wyndham Capital Mortgage.

Jeff Douglas, CEO of Wyndham Capital Mortgage, tells how he used Encompass® as a technology hub to change and grow his business and reduce the cost of compliance by thousands of dollars. His testimonial, as well as those from other lenders, may be viewed here.

The Wyndham Capital Mortgage client case study goes into greater detail. It highlights how Douglas leverages Encompass to effectively manage compliance, reduce errors, and improve loan quality. It may be read here.


EVENTS
Ellie Mae will be attending several national events in the coming months. This provides an opportunity to connect one to one, discuss industry trends and happenings, and discover the latest Ellie Mae mortgage technologies.

Connect with Ellie Mae at these upcoming events:
  • May 3-5, 2015 Texas Mortgage Bankers Association 99th Annual Convention, San Antonio, TX
  • May 3-6, 2015 MBA 2015 Legal Issues and Regulatory Compliance Conference, Chicago, IL
  • May 17-20, 2015 MBA National Secondary Market Conference & Expo, New York, NY
  • June 14-17, 2015 ABA Regulatory Compliance Conference, Washington, DC
  • July 8-10, 2015 California MBA Western Secondary Marketing Conference, San Francisco, CA
  • September 20-22, 2015 MBA Regulatory Compliance Conference, Washington, DC
  • October 4-6, 2015 ABA Marketing and Retail Conference, Denver, CO
  • October 18-21, 2015 MBA Annual Convention and Expo, San Diego, CA
These events are great opportunities to meet with Ellie Mae staff to discuss new solutions, find ways to maximize existing ones, and connect one-to-one.

The complete event schedule may be found on the Ellie Mae website's events page.

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