Automated credit proofreading tools eliminate additional
inquiries, preserves existing scores
SAN DIEGO--(Business Wire)--
Cogent Road, a provider of Internet-based applications for the
mortgage industry, has launched Score Protection, Funding Suite's
newest technology offering that eliminates additional inquiries by
protecting any of the scores in a preexisting credit file provided the
original file is less than 30 days old.
Funding Suite's automated credit proofreading tools help
originators detect errors in credit files that work against the
applicant by lowering his or her credit score. Once these errors are
corrected, a new, often higher score is calculated using the corrected
credit file data. In the past, these new scores could only be obtained
by reordering an entirely new credit file, which sometimes lowered the
unaffected credit scores due to the additional inquiry. This created a
source of frustration and disappointment for both the mortgage
originator and the applicant, as this process can leave the newly
ordered file in a non-qualifying state.
If, for example, credit proofreading tools detect that errors are
lowering an applicant's TransUnion score, Funding Suite can correct
those errors at TransUnion within 72 hours. Before ordering the new
credit file to receive the resulting higher score from TransUnion, the
loan officer may protect the scores previously received from Experian
and Equifax. Doing so protects the scores from being reordered, which
eliminates the potential downward score drift due to the additional
inquiry. Since the original Experian and Equifax scores are less than
30 days old, only the newly ordered TransUnion score and tradeline
data are added to create the new tri-merge credit report, which can
then be reissued to Fannie Mae, Freddie Mac or various lenders. For
GSE and lender compliance, the order date on the new file reflects the
same date as the originally ordered file.
Score protection is fully automated and the mortgage originator
does not need to record or otherwise remember that a previous file
exists. At the moment of ordering, if Funding Suite detects a
previously ordered credit file that is less than 30 days old for the
borrower, co-borrower or both, Funding Suite will ask if they would
like to protect any of the scores. It is entirely optional and the
originator may protect any mix of the scores or none at all. Any
unprotected credit scores will be ordered and added to the file.
"The mortgage lending industry allows originators to add new
bureaus to a previously ordered single bureau file provided the
original file is less than 30 days old," said William DiPaolo,
managing partner for Cogent Road. "Score protection uses the 30 day
time-limit in a way that protects the borrower from lower scores due
to additional inquiries that are absolutely unnecessary. This addition
to Funding Suite's credit proofreading tools furthers our commitment
to helping borrowers receive the credit score they rightly deserve."
About Cogent Road
Cogent Road develops Internet-based applications for the mortgage
industry, such as Funding Suite(R), the industry's first, true Credit
Management Platform. Currently utilized by more than 30,000 mortgage
professionals nationwide, Funding Suite helps clients qualify more
applicants with its unique Intelligent Credit Report and protect
applicant data via data suppression and computer access restrictions.
For mid to large-sized clients, Funding Suite also offers robust
user-level access controls and detailed cost accounting. For more
information about Cogent Road, visit www.cogentroad.com. For more
about Funding Suite visit www.fundingsuite.com.
For Cogent Road
Media Contact
Joy Harper, 678-781-7208
Copyright Business Wire 2008
