eLynx releases HUD-1 compliance tool for its Electronic Closing Network

Tue, 2010-08-31 12:54 — NationalMortgag...

eLynx, a portfolio company of American Capital, has announced that it has released its new eHUD service, a component of the Electronic Closing Network (eCN), that makes it easy for lenders and closing agents to comply with Real Estate Settlement Procedures Act (RESPA) regulations governing Good Faith Estimates (GFE) and the HUD-1.

Recent changes to RESPA regulations limit the differences allowed between the fees disclosed on the GFE and the amounts collected from the borrower at the closing table. These controls require that lenders and settlement agents work closely to negotiate fees and limit differences on the HUD-1 while preparing mortgage documents.

In the past, preparing the HUD-1 was a manual process that required numerous phone calls and faxes. eLynx’s new eHUD service provides a mechanism for lenders and settlement agents to collaborate electronically and in real-time. All parties can quickly and transparently negotiate the fees on a HUD-1 before reaching the closing table. The eHUD service also automatically compares the fees to the original GFE, identifying differences that exceed the allowable amount. This allows lenders and settlement agents to improve their RESPA compliance.

Silanis, the market leader in automating business approval processes, announced today that it is working with Stewart Title and the National Notary Association (NNA) to deliver the first implementation of eNotarization capabilities for paperless mortgage closings at a title office. The three organizations are working together to incorporate the NNA Enjoa® signing tablet into Stewarts eClosingRoom, a key part of their SureClose® platform, providing another essential component for paperless mortgage closings. Stewart Title is a wholly owned subsidiary of Stewart Information Services Corp. (NYSE-STC).

Electronic notarization standards and technologies such as Enjoa®, an electronic Notary journal designed by notary experts at the NNA and built by Interlink Electronics, will revolutionize the traditional Notary process and support the electronic closing process. Enjoa® allows Notaries to securely capture and store a borrowers signature, thumbprint and photograph, satisfying all applicable state notary recordkeeping laws and leaving no doubt regarding the identity of the signer. Enjoa® also functions as a signature tablet that allows borrowers to sign electronic documents in Stewarts eClosingRoom.