The Loan Servicing Deep Dive

This review focuses on your Loan Serving area. We look for deficiencies and regulatory violations, some which have remained hidden for years. Common issues that we have identified at multiple institutions include: loans not operating correctly, payments not being processed correctly, loans not being serviced in accordance with their notes, and rates not adjusting correctly. Overwhelmingly, these issues are due to human error, typically from errors made during a loans booking, when the system settings were mapped, or that resulted from a flawed core system conversion. After identification, we provide the action steps needed to correct the issues.

This review uses a true “deep dive” method. We look at system settings and review servicing reports, looking for anomalies. We sample the data provided by each report and trace it back to the source. We will look at the loan product set up, and sample loans to confirm they are being serviced in accordance with the legal documents. When we identify a deficiency, we will determine if it is systemic, and if true, will provide the needed action steps to remediate it. 

Identifying and correcting deficiencies in your Loan Servicing program can in many cases result in an increase in revenue. For example, restoring lost or leaking interest income or preventing future borrower reimbursements for costs they incurred as a result of the improper servicing of their loan.