MAY 2014 n New York Mortgage Professional Magazine n
Andrew Liput is president and CEO of Secure Settlements Inc., a company he founded after nearly 10 years studying the problem of escrow and closing fraud and the uninsured risks associated with mortgage closing professionals. He may be reached by e-mail at aliput@securesettlements.com.
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Rojakovick in Richmond, Va., as well as the appointment of two new branch managers: Timothy Hoy in Towson, Md. and Tyson Rondeau in Scottsdale, Ariz. l Wingspan Portfolio Advisors has promoted industry veteran Eshna Ghosh to the newly created position of senior vice president for business development.
GHOSH BADCIONG BUEGE
l Norcom Mortgage has announced the addition of mortgage consultant George Lazos to its growing retail team.
LAZOS
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On April 23, I traveled to Washington, D.C. to attend the Consumer Financial Protection Bureau (CFPB) Forum on the mortgage closing process. The build-up to this event came on the heels of the open public comment period the Bureau established for consumers and industry participants to offer personal experiences, ideas, suggestions and comments about the residential mortgage closing process. The sum and substance of the open comment period was reviewed, edited and compiled into a CFPB Report entitled: “Mortgage Closings Today.” I must say that the CFPB event was not as exciting as I had hoped. The Bureau has decided, at least for now, to focus on e-signing and e-closings as a solution to complaints by consumers that they are overwhelmed with the closing experience. CFPB Director Richard Cordray stated that the Bureau believes that consumers need more time to review documents and if they receive them electronically three days before a closing, they would have the time to properly review, understand and digest the loan package and thereby be better prepared to close the single largest financial transaction of their lives. Director Cordray also discussed embedding notes and explanations in the documents as an educational component, so that consumers could get an education not otherwise provided today by most closing professionals. There was very little talk about settlement agents other than consumer complaints about their failure to explain documents, and rushing borrowers to complete the closing with little time to ask questions. I had expected a conversation about an agent certification/education initiative for agents, who usually have no knowledge of the mortgage process, just the real estate, title and legal aspects of the closing, but there was none. A question and answer period followed the Director’s remarks, and while most commented on how an e-closing would improve the process, not everyone was sold. I was impressed with comments made by Margot Saunders, an attorney with the National Consumer Law Center. Ms. Saunders pointed out that e-closings may possibly exclude a significant segment of consumers who do not have access to computers or have the knowledge and experience to use them in a manner that will relieve the stress of the overall experience. She also explained that it also does not really address the core issue: The complexity of these documents and the failure of the professionals who participate in closing the loan to take the time to explain them fully so that a consumer can make an informed decision whether to proceed. I applaud the CFPB and Director Cordray for the work they are doing to improve the overall mortgage experience for consumers, as well as the closing table experience in particular. And while I believe that the e-closing initiative is an interesting first step towards a more efficient and consumer-friendly experience, I believe that the time has come for uniform standards, cross-discipline best practices and mandatory education. Measures such as these will ensure that anyone acting in such an important role in a major consumer financial transaction has the minimum knowledge, experience and ability to properly advise a consumer regarding the mortgage closing.
l Inlanta Mortgage has announced that Jean Badciong has been promoted to the position of chief compliance officer and Paul Buege has been promoted to chief operating officer. Inlanta has also welcomed Jonathan Arnold and his team as they open a new Inlanta branch office in Grand Rapids, Mich. Inlanta has also announced a new branch office in East Wareham, Mass. which will be managed by veteran loan originator and manager Dan Sheehan.
l DocuTech Corp. has named Justin Summers director of implementations and professional services.
SUMMERS
By Andrew Liput
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l Amerisave Mortgage Corporation has announced that Ed Abufaris has been named company president.
ABUFARIS
We Need More Than e-Closings to Improve the Consumer Closing Experience
heard on the street
l Denise Tragale has been named northeast regional sales manager for CMG Financial. l Carrington Mortgage Services LLC has announced the appointment of Chad Ruggles as national sales director. Carrington Mortgage Services LLC has also announced the opening of a new branch and the appointment of Sales Manager Greg
l American Financial Resources Inc. (AFR) has hired David Margulies as its new executive vice president, global sales. l Guaranteed Rate has announced that Martin J. Logan has been named as the company’s new chief information officer. l Primary Residential Mortgage Inc. (PRMI) has named Dan Rivisto a division manager. l Primary Capital Mortgage (PCM) has announced the appointment of Sharon Bitz as its new vice president of the western region, supporting wholesale account executives, as well as broker and correspondent business partners, in the western region. l W.J. Bradley Mortgage Capital LLC has promoted Danya Sawyer to the position of senior vice president of mortgage operations. l GSF Mortgage has announced the addition of Brian Reno as branch manager in Indianapolis, Ind., joining GSF with 23 years of experience, and is a Certified Mortgage Planning Specialist (CMPS). GSF has also announced the addition of Samantha Klaburner as branch manager in the firm’s Hixson, Tenn. branch. GSF has also announced the addition of Sue Jackson to their Carmel, Ind. branch. Jackson will work under Jack Westfield, Carmel branch manager. l Birchwood Credit Services Inc. has announced the promotion of Jim DeGeorge to the position of national sales director. Birchwood has also named AJ Dougherty regional sales manager for the Pennsylvania, New York, New Jersey and Delaware areas. l American Financial Network (AFN) of Chino Hills, Calif. has appointed Brian Pool as wholesale vice president and Susan Belese as regional production manager, Wholesale Lending Division, of the Northeast Region, including New Jersey, Pennsylvania, Ohio, Maryland, Virginia and Delaware. continued on page 57