20 Questions for a 10-Minute New Year Check-Up
Monday, 30 November 2009 16:00
Welcome to a new decade of seniors in need of your services. Now that you have completely convinced yourself that the time and effort in preparing a 2010 New Year’s Resolution List resulted in confirmation that your will power needs an adjustment, relax, cross out all of those feel good items and write this across your entire page – “This is the year I will succeed!”
There is no doubt about it, 2010 will be the year you will assist more seniors than ever before. Despite the media, regulators and legislators the latest surveys only report 1-2% of eligible seniors currently utilize the HECM product.
Take the time to undertake a 10-minute check-up as you prepare yourself to originate and have a healthy and prosperous New Year!
Compliance and Disclosures
• While there is a short “grace period” afforded with the implementation of the new GFE disclosure format, have you read the FAQs and brushed up on new required disclosure items and the grouping format?
• January 1st is the implementation date for many recently passed state consumer updated and new disclosures – have you reviewed your application and closing packages for these additions or changes?
Policies and Procedures
• New and updated disclosures may require you to revisit your Quality Control Plan to determine if it addresses needed policy and procedure updates. When was the last time you read your Quality Control Plan? When is the last time you flow charted the pre-application, processing, underwriting, closing and funding components of your company production strategy to determine areas of weakness and steps to increase your overall effectiveness?
Pre-Application Activities
• When was the last time you all met as a group to discuss and formulate new communication and marketing strategies for the new year?
• At your next group meeting, will someone(s) role play the explanation of the GFE and application disclosures to the Borrower?
Application Activities
• Have your application checklists been updated to reflect new forms and procedures?
• Does everyone know what a “complete” application package looks like?
Processing Activities
• New forms, disclosures and policies & procedures require the alteration of your present processing methodologies. Have you updated your processing checklist?
• When was the last time you reviewed alerts, updates and form & process changes with your investors. When was the last time you checked with your account executive for updates?
HVCC
• Do you really know what this HVCC “thing” is all about? Are you comfortable in your knowledge of who, what, when, where and why the control of the appraisal process and the report are issues?
Loan Submission Activities
• How do your loan officers explain the processing, underwriting and closing process to the borrower(s)? Have you reviewed time parameters for key areas of the loan process with the Sales and Marketing staff?
• Has your investor provided recent feedback as to your file quality and processed loan submissions? Have you asked your investors if there are ways which can expedite your file underwriting and closing turn times?
Underwriting
• In the last 3 months, how many times have you said to yourself “I didn’t know that”, “I never heard of that” or “I forgot all about that”? When was the last time you did some self-education and information activities to brush up on your weaker areas of knowledge?
• While driving, traveling or taking a breather, ponder this question – what does it really take to get a “clear to close” on a first time file submission to your investor?
Closing and Settlement
• How do you explain the closing and settlement procedure to your borrower? Are your time frame and procedure estimates in need of updating?
• Do you or does someone explain the servicing access and contact information your borrower may need after the loan has closed and disbursed?
• How and when do you explain the repair escrow/holdback/release procedure to your borrower?
Sales and Marketing
• Great – a whole new sales strategy and campaign is ready to unfold for the new year – has anyone done a review check for state and federal advertising and disclosure compliance and guidelines? Do you have corporate counsel reviewing this information?
• Do you set origination goals and measurement standards for yourself? How many new contacts should you make in the next 30 days? How many new referral sources? How many new originations? How many follow-ups on prior leads? How many cold calls? How many Pre-Qualifications?
• How many thank you cards, newsletters and informational e-mails and phone calls?
• When was the last time you told someone you assist seniors by offering information on reverse mortgage loans?
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