One of the nation’s largest lenders completes its first eClosing as an eWarehouse lender, using DocMagic’s Total eClose™ solution for eWarehouse lending

TORRANCE, Calif., April 21, 2017—DocMagic, Inc., the premier provider of fully-compliant loan document preparation, regulatory compliance and comprehensive eMortgage services, announced that Texas Capital Bank has implemented its Total eClose™ solution. This implementation enables the bank to function as an eWarehouse lender. They can now accept and fund eNotes from its lender customers that want to drastically speed up the process of closing and selling loans.

Total eClose™, DocMagic’s eClosing technology, is a single-source, centralized platform that provides all necessary components to enable a completely paperless digital closing. Texas Capital Bank is a leading provider of warehouse credit facilities to fund mortgage origination and acquisition.

Texas Capital Bank recently funded its first eNote with a key lender client using DocMagic’s eMortgage technology suite. The eNote was instantly delivered to the bank, registered with MERS, and securely stored in DocMagic’s eVault. They completed the entire transaction electronically and transferred the eNote to Fannie Mae in minutes, rather than days.

“DocMagic’s eClosing and eMortgage solutions have provided Texas Capital Bank with the tools necessary to incorporate the funding of eNotes into our everyday operational procedures,” said Donnie Martin, Executive Vice President at Texas Capital Bank. “We believe the digital mortgage revolution and acceptance of eNotes will continue to grow. We are pleased to have partnered with DocMagic to build out the infrastructure needed to support the eNote funding process at the bank, which in turn supports the trend towards digital mortgages.”

“It’s very rewarding to support Texas Capital Bank as they move forward and break ground as an eWarehouse leader,” said Dominic Iannitti, president and CEO of DocMagic. “In this industry, it’s forward-thinking, tech-savvy organizations like this that thrive, set the pace and reach their goals. They understand the fundamental role that advanced technology plays in their—and the industry’s—progress. We look forward to collaborating further as we help drive true end-to-end eMortgage adoption.”

The Consumer Financial Protection Bureau (CFPB) has repeatedly encouraged lenders to implement eClosing technology and operational processes to make obtaining a home loan as easy as possible for borrowers.

North Carolina Secretary of State Elaine Marshall wants the state to be a leader in eCommerce. It adopted the Uniform Electronic Transactions Act, the Uniform Real Property Electronic Recording Act and the Electronic Notarizations Act. All of this was to prepare for the day when the state could institute eClosings.

“We have been working diligently over the past 15 years to build the infrastructure to build electronic commerce,” Director of Electronic Notarization and Notary Enforcement Ozie Stallworth said. “We thought it was a prime time for North Carolina to step forward and lead in this space because we have the legal infrastructure in place to support a full end-to-end eClosing. We looked to our state’s lending institutions to see whether or not they understood and believed that the industry was headed down the road towards eClosings.”

Stallworth determined the financial institutions were eager to move forward. North State Bank Mortgage President J. Kenneth Sykes agreed and said the state’s efforts are cutting edge.

“We believe that eClosings will enhance the customer experience and provide a more secure method of mortgage loan closings,” Sykes said.

Invitations were set out to financial institutions, title agents and technology providers asking them to participate in the pilot. Together the participants began educating each other on what was possible, potential barriers and what the eClosing transaction would look like.

“What we are trying to accomplish through this pilot is the full end-to-end electronic process,” Stallworth said. “Not the hybrid version. We encourage all forms of electronic commerce, whether it’s hybrid or not, but this pilot is focused on incorporating in-person electronic notarization so that the entire process from start to finish can be completely electronic without any paper in the process at all.”

DocMagic Director of eServices Tim Anderson said this pilot is unique because it is one of the first to be officially sponsored by the state.

“This will be a full paperless eClosing, including eNotary and both title and lender documents,” Anderson said. “We not only see this as providing a better consumer education and experience, but for the lenders selling the loan to investors to eliminate the post-closing issues, and if you can do that, investors can fund the loan with certainty and avoid any post-closing trailing doc issues that may hold up funding the loan. Everyone wins.”

eOriginal General Manager of Digital Mortgage Simon Moir agreed. He said the pilot offers an opportunity to bring all the players together in one place to remove the barriers — both real and perceived.

Potential barriers include jurisdictions that aren’t eRecording or still keep all files on paper. Sykes said with any major change of format within the lending industry caution is expected. But Stallworth said there hasn’t been any push back so far.

“The active participants in the pilot are reaching out individually and collectively to various stakeholder groups such as the Realtor association and the State Bar, the Bar association, the bankers association and others, to make sure they are aware and informed of this transformative effort. It is important to have the input of all the stakeholders to ensure that eClosing in North Carolina will be a benefit to all in the state and to the consumers in particular.,” Stallworth said. “We anticipate hearing more of those voices.

“Secretary Marshall has long stressed the importance of making technological advances to ensure that those doing business in North Carolina would be able to compete at the highest levels in an increasingly global marketplace.  This eClosing pilot program is the fruition of the many years of working to construct the statutory framework to support electronic commerce and will potentially be a model for other states to follow.”

By Tim Anderson

The days of no pressure are over. Any lender that hasn’t already waded into the ePool had better be ready to jump. With immense regulatory pressure looming, the old method of just doing something is no longer sufficient. It's time for a new tack.

The recent news about the IRS decision is an ex- ample of this. With all the buzz around this news, we’re already hearing from lenders who are interested in a point solution that will allow them to take advantage of this decision for doing business with the IRS. This makes sense because this is front and center in the news, but since these lenders are not considering how this decision impacts the rest of their business, it’s short sighted.

The 4506-T is just one document and while it makes good sense to make the ordering, accepting, processing, filing and storing that document all electronic, what about all the other documents? The e-signature part of this solution can and should be applied elsewhere in the enterprise. When it is extended, it should be done the same way. If it’s good enough for the goose, it’s good for the gander as well.

Seeking a paperless map. Electronic signatures are more than a digital picture of a signature; they are a process, a ceremony. E-sign is a legal process that includes proof that the borrower actually viewed every document, whether there’s a signature or not. Auditors will demand to know if the borrower actually viewed every document. There are also requirements around whether the signature is embedded or an overlay. There are other requirements around how the lender provides the tamper- evident seal. Investors have a lot to say about what is actually involved.

Providing a common and consistent eSigning experience. These processes can vary by vendor, but using different types of e-sign technology across an enterprise can cause problems with investors, to say nothing of confusing borrowers and degrading the consumer’s experience. Remember, from the consumer’s perspective, there are many other documents they would like to sign electronically. If the lender hopes to get consumer adoption, the same tools should be used across the entire process and borrowers should not be asked to sign some documents electronically and others traditionally.

Lenders no longer have the luxury of gently moving into the paperless world. They need to get in soon and they need to take their entire lending process with them. That means that institutions will be seeking solutions that will get all of the paper out. Lacking that, they will seek out partial solutions that already carry within them the map for the future steps that will get them fully electronic.

The very best way to ensure that is to work with a vendor who can take you down that road as fast and as far as you want to go, but in no case slower than the government requires. Choosing a vendor that can only provide a point or piecemeal solution, without a plan for getting to the next step, will put the institution at risk.

An “e”nterprise solution, from application, to closing, to servicing. A good RFP will go a long way toward separating those players who cannot provide a complete solution from those that can. It will also reveal which vendors understand the nuances—from application all the way to closing and loss mitigation—that could impact the lender’s ability to comply with investor and regulatory guidelines. Moving into electronic lending is no longer a simple, cheap or fast implementation. Like everything else in this business, it requires careful consideration.

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This is part one of a two-part article on the industry-wide transition out of paper-based processes to electronic, from application through to closing and servicing. Tim Anderson is the Director of eServices at DocMagic.

Posted with permission from The Mortgage Executive Magazine.

@import "/sites/all/themes/docmagic/css/fix-ie.css"; By Brian A. Lee

E- or digital mortgages offer increased speed, efficiency, and savings, but lenders and other industry players still face challenges in implementation.

Fintech investment has skyrocketed in recent years, from $1.8 billion in 2010 to $19 billion in 2015, according to a Citigroup report, but the mortgage industry, by most accounts, has been slow to board that high-speed train. Regarding the adoption of digital mortgages, lenders and other industry players are more apt to be like your old-fashioned parents who outwardly embrace innovation but wind up only using a relatively small percentage of their tech tools and gadgets. Many lenders have engaged in hybrid deals—both electronic and paper—and the end-to-end eMortgage definitely constitutes the logical progression in the marketplace, but obstacles remain in the two major areas essential for originators and mortgage bankers to operate: the source of liquidity to fund loans and the secondary market to purchase them.

The absence of warehouse banks, which serve as that source of liquidity for mortgage bankers willing to adapt their paradigm to accept eNotes as collateral, certainly plays a major role, according to Donnie Martin, EVP at Texas Capital Bank.

“One reason is the revenue model of warehouse banking, which is based on interest income, the interest earned in the time elapsed between the funding of the loan and the sale of the loan in the secondary market,” he says. “eNotes and eDelivery drastically reduce the time it takes to purchase a loan in the secondary market, which has a negative impact on the interest income of a warehouse bank.”

Secondly, the lack of a secondary market constitutes the backend bottleneck for mortgage bankers and warehouse banks with regard to e- or digital mortgages.

“Presently, there are two primary investors in the market for eNotes: the GSEs. To put it simply: if you can’t fund or sell it, you can’t originate it,” states Matt Fair, SVP at Texas Capital Bank. Not all hurdles hindering the widespread acceptance of digital mortgages are structural. The housing crisis and economic downturn affected more than people’s stocks and credit ratings. The challenges that faced the industry during that period all but stopped the development and implementation of digital mortgages, according to Martin. The GSEs purchased the first two eMortgages on the secondary market way back in 2003.

Rated E for Efficiency

Necessity is the mother of invention, it’s been said. Compliance, collaboration, and convenience are strong demands in the mortgage marketplace, and more and more industry players are discovering that an eMortgage can speed those needs.

“There really is a groundswell around eMortgages now compared to any other time in the industry,” says Scott Babin, EVP of Operations at Michigan Mutual, parent company of MiMutual Mortgage, crediting government endorsements of and mandates for the electronic transmission of documents.

Lenders included these highlights of digital mortgages in their commentary to Fannie Mae: operational efficiencies and cost savings, increased data quality, improved risk management, quicker warehouse inventory turnaround times and faster liquidity in the secondary market.

“There is great margin pressure to create operating efficiencies,” adds Babin. The rate environment and increased regulatory burden since the housing crisis did not help the industry’s ‘e-volution,’ if you will. Those things changed but, as mentioned above, the firm focus on efficiencies and savings by financial institutions never does.

“In today’s environment of rising rates an compressed margins, lenders will seek avenues to increase efficiencies and widen margins,” says Martin of the Richardson, Texas-based Warehouse Bank. “[The digital mortgage] can be an effective tool to achieve this goal.”

Despite the challenges, Martin expects that the continued adoption of full digital mortgages, including the eNote, will propagate over the next few years. Linn Cook of LendingQB credits PayPal, ApplePay, and other electronic payment platforms, as well as DocuSign, for boosting consumer acceptance of signature-less transaction technology. Hybrid home mortgages have helped, too.

“Hybrid eClosings [or digital mortgages] have been taking place for many years now and based on results from [the 2014] Consumer Financial Protection Bureau pilot program, consumers see a number of benefits, including a better understanding of the documents, a more efficient process and feelings of empowerment or more control over the closing process,” Martin says. “Driven by consumer sentiment, digital mortgages will continue to be embraced by the mortgage industry and the process will evolve over time.”

Babin seconded the point about technology creating a better consumer experience, a major focus of most mortgage originators in today’s market. The Michigan Mutual executive vice president also pointed out that with recent government adoption of eSignatures on key mortgage documents, such as 4506Ts and FHA 92900As, some lenders have implemented an application process that only papers out at closing.

Radius Financial Group Inc. touted one of the industry’s first comprehensive “eClosings” in October 2016, where the note/collateral was automatically registered with MERS, then securely sent to DocMagic’s eVault, and within minutes rather than days Fannie Mae had the full collateral package. The Norwell, Mass.-based mortgage lender said that eMortgage ease of use will especially appeal to millennials, which will make up 61 percent of new homebuyers in 2017, according to Realtor.com.

Martin, the Texas Capital Bank executive, broached some benefits that digital mortgages afford to warehouse banks. MERS, which serves as the legal registry for eNote location and ownership, facilitates the immediate recognition of a warehouse bank’s security interest in a particular promissory agreement. Digital mortgages also provide for a more streamlined process from the receipt of the note at the closing table to its eDelivery to the secondary market.

“The delivery of eNotes, which in most cases are received by the warehouse bank and delivered to the secondary market investor on the same day as funding, virtually eliminate the complications that can arise out of traditional overnight delivery channels, as packages are not lost, damaged, or delayed due to inclement weather or other external factors.”

Digital Deeds: Slow But Sure

Athird quarter 2016 survey by Fannie Mae and Freddie Mac of 130 “key industry stakeholders,” including lenders, servicers, warehouse banks, settlement providers, and vendors, found that overall adoption of eMortgages has been slow.

The GSE survey asserts that eMortgages continue to gain acceptance among lenders, which are willing to initiate the process while warehouse banks, servicers, and settlement partners, such as title companies, will adopt when requested by lender partners.

According to the GSE survey, common concerns across the various mortgage industry segments include:
•Acceptance by a limited number of investors
•Warehouse line availability
•Lack of key stakeholder readiness: servicers, document providers, custodians, title/settlement agents, etc.
•Implementation complexity
•Inadequate return on investment based on industry volumes
•Lack of uniform adoption of eNotarization and eRecording
•Resource/financial constraints
•GSE policy alignment



The massive changes in mortgage systems and workflows required to implement the TILARESPA integrated disclosures (TRID) perhaps could benefit the industry in the advent of digital mortgages. Or one could argue it cuts the other way with wariness and fatigue holding sway. After all, sweeping industry change with the unavoidable compliance ramifications involves a lot of moving parts and preparations.

“[The CFPB] shined a bright light on the ‘e’ process as the preferred way to meet TRID requirements and consumer education and empowerment, says Dominic Iannitti, president and CEO of DocMagic Inc., a single-solution provider that delivers a fully paperless end-to-end digital mortgage solution. “And Director Richard Cordray says it is the number one thing he wants to see get mainstream adoption before his tenure is up.”

Cook of LendingQB says: “TRID has come and gone and the industry did not implode. Costs are higher, but that was to be expected given the amount of change that occurred. What TRID accomplished was prove to the mortgage industry that major changes to the way that business is done can be accomplished… A side effect of TRID was that it forced lenders to re-think their processes and in some cases improve their workflow. This is a bigger deal than many people think because most lenders are stubbornly resistant to change, even if they know it benefits them.”

So how close is the industry to making end- to- end eMortgages a reality though? As if pointing to the first concern from the above GSE survey, Iannitti says to follow the money trail.

“This will occur when more of the traditional investors begin buying eNotes,” affirms the leader of the Carson, Calif.-based provider of mortgage loan documentation software products and services. “We believe a few large players will be stepping up to support the purchase of eNotes in 2017.”

Bruce Carr, CEO of MiMutual, adds, “The industry needs acceptance by both investors and warehouse banks to have eMortgages attain the level in the industry it deserves. The other big hurdle is municipalities: With limited resources at the municipal level greater acceptance of eMortgages could be very slow.”

Approximately 1,500 of 3,142 counties in the country, covering about two-thirds of the population, support electronic recording, with new counties adopting the digital method each month, according to Jerome Jelinek, CEO and General Counsel of Corporate Settlement Solutions, a settlement provider based in the Cleveland metro. “Hybrid closings are a necessity when the property subject to the mortgage is located in a county not equipped to receive electronic recordings,” Jelinek adds. “The remaining mortgage documentation, however, may be completed electronically, including the eNote. As a result, the digital mortgage process remains mostly unchanged, and the benefits are still received by the lender and the consumer.”

There’s no doubt that industry acceptance of digital mortgages will continue to grow, as structural and technological challenges give way to the relentless pursuit of increased efficiency and savings. For Iannitti of DocMagic, the “e” could stand for an enhanced customer service experience for the homeowner and “dramatically improved execution” for the lender. Those values are easy to embrace.

DocMagic, Inc. is proud to announce that president and CEO, Dominic Iannitti, was honored by HousingWire with its 2016 Vanguard Award, which recognizes top mortgage executives for professional accomplishments and for their positive impact on the industry at-large.

The Vanguard Award list is limited to business unit executives within the housing and mortgage finance spheres, specifically those who stand out as innovators and trailblazers. The bar is set extremely high, so all Vanguard nominees represent the highest caliber and demonstrate substantial industry influence.

“The HW Vanguards continues to impress going into its second year; the winners are second-to-none and this list represents the finest cross section of mortgage talent available,” said Jacob Gaffney, HousingWire editor-in-chief.
This was a momentous year for Iannitti. 2016 saw the launch of two industry-altering platforms at DocMagic, and Iannitti’s role at the helm of those projects no doubt earned him a spot on the Vanguard list.

In the first half of the year, Iannitti led the charge in rolling out SmartCLOSE™, DocMagic’s award-winning collaborative closing portal, a solution for TRID compliance that brings lenders, settlement service providers, and other relevant parties together in a secure environment to share, edit, validate, audit, track, and collaborate on documents, data, and fees. Since its launch, SmartCLOSE has gained rapid industry adoption, proving it to be a true game-changer in loan closing today.

Following the launch of SmartCLOSE™, Iannitti shifted his focus to DocMagic’s single-source Total eClose™ solution, where he once again played an integral role in the project’s conception and development for the marketplace. The Total eClose™ suite contains all of the components needed to facilitate a completely paperless digital closing — from start to finish.

By October of 2016, DocMagic completed the mortgage industry’s first comprehensive eClosing for radius financial group, inc. The eClosing included both lender and closing/settlement agent documentation, eNotarization, eWarehousing and eNote acceptance. Unlike other so-called eClosing solutions (often merely hybrids which still require that certain documents be papered out), DocMagic’s centralized Total eClose™ platform facilitates a truly paperless digital closing, an industry milestone that cannot be underestimated.

“I am very honored and humbled to have been selected by HousingWire’s editorial board to appear on this list of esteemed mortgage executives,” commented Dominic Iannitti, president and CEO of DocMagic. “This award is absolutely the result of our continual technology innovations and the unwavering commitment and enthusiasm of the exceptional team at DocMagic.”

Join the eClosing evolution!

DocMagic recently helped a Massachusetts lender close on a series of fully paperless mortgages! DocMagic’s eclosing technology, Total eClose™ tracked each completely paperless loan process in real time, combining an electronic closing with an electronically signed promissory note and deed of trust!

Stop by booth #50 at the New England Mortgage Expo on January 13th to learn how DocMagic continues to move the needle in digitizing the mortgage process by working with our customers and partners at every stage of their eClosing evolution!

Get Started with Total eClose™ NOW!

DocMagic's eClosing solution seamlessly integrates every component of a totally paperless eClosing process, including:

• Access to an extensive eDocument library featuring eSignature technology
• Generation of a MISMO category one compliant SMARTDoc eNote
• eNotarization technology for all 50 states
• Direct connectivity with the MERS eRegistry
• Long-term storage within a secure, certified eVault
• An Investor eDelivery channel
• An irrefutable Audit Trail for proof of compliance
• Backed by a $5M set of Reps & Warrants, our TRID compliance is guaranteed

Let us show you the benefits of working with a single eClosing provider!{{cta('be1de92d-98a6-4e3d-9c3a-ed63eba9b4c6','justifycenter')}}

This fall, a Massachusetts lender closed on a fully paperless mortgage. The work that led to this rare achievement captures the difficulties originators still face in digitizing the loan process.

Radius Financial Group in Norwell electronically closed six loans beginning in October. The process was created in partnership with the tech vendor DocMagic, the MERS loan registry, Fannie Mae and Santander Bank.

Electronic closings and e-notes have been kicking around for a long time. Fannie Mae and Freddie Mac have purchased e-mortgages since the early 2000s. But they remain rare, partly because there are few warehouse lenders that can handle these transactions. Rarer still are completely paperless loan processes that combine an electronic closing with an electronically signed promissory note and deed of trust.

Lately, however, momentum has been building to accelerate the move toward paper-free mortgages. A report last year from the Consumer Financial Protection Bureau found that transactions were faster and borrowers walked away feeling better when a loan was closed using digital means rather than paper.

While the choice to push for a digital mortgage process was largely a matter of improving the customer experience, it also has bottom-line benefits for the company as well, Radius co-founder and Chief Operating Officer Keith Polaski said.

"The first thing for us was the consumer experience, but without a doubt there are tremendous derivative economic gains and efficiencies," Polaski said. "At the end of the day, decisions are made on surrounding economics. If I can save myself 200 bucks a loan, we should be looking at that."

The first loan done through the completely paperless process was closed on a Friday morning at the closing attorney's office "with cups of coffee and chocolate chip cookies," Polaski said. Radius had its technical staff on-site for the first two e-closings to ensure the process went smoothly.

The documents were signed using a tablet. (Notarized documents were also signed with ink for recording purposes because Massachusetts does not yet allow registries to accept electronically notarized documents, though the note and all other documents were electronic.)

That same day, Fannie Mae purchased the loan from Santander, the transaction's warehouse lender.

"For every [paper] transaction, there's five FedExes for that note — those go away," Polaski said. "How fast things turn around will save money."

More than 3,000 miles away, in Torrance, Calif., DocMagic followed the closing as it happened.

"What was interesting about the transaction was our ability to monitor its progress in real time," DocMagic CEO and President Dominic Iannitti said. "Because we were controlling all of the different web service calls that collectively made up that entire process, we were able to monitor it from our offices and watch it transpire without actually being there."

These half-dozen loans were the culmination of a journey that took more than two years. It began when Radius was approached by an aggregator — Polaski declined to identify the company by name — about working together on an e-note pilot program, having heard of Radius' interest in this area. After a promising start, this project ultimately fell through.

"All of sudden everyone was moving in the right direction and then it stopped," Polaski said.

Still the experience positioned Radius well to keep trudging along. In August 2015, Radius received seller-servicer approval from Fannie Mae, a process that Polaski said took roughly four months. Then, the company lined up its e-note approval from Fannie, which Polaski said took only 45 days thanks to the work already completed in the e-note pilot program.

"We were lucky because we had done a lot of the MERS and e-vault work ahead of time," he noted.

Radius and DocMagic were not the only parties to the closing that had to get the proper technology in place. Massachusetts is an attorney-closing state; Radius' closing agent had to get approved as an electronic notary from World Wide Notary, a vendor. This required him to obtain an electronic signature pad and install and learn software.

Perhaps the biggest challenge throughout the entire process though was securing a warehouse lender that was equipped to do electronic closings; there are only a handful of such providers.

"There are only a few e-warehouse lenders and that is definitely a factor," Iannitti said. "If you don't have a company that's ready to purchase that e-note then you haven't really accomplished anything at all."

Santander did not make executives available for interviews. According to Polaski, the bank had been pursuing the e-warehouse business for more than two years, and company executives even had to travel to the bank's parent company in Spain to receive the OK.

"The stars were aligned and we finally had everybody aboard," Polaski said.

The next step was identifying the borrowers from the large pool of customers who already had a digital relationship with Radius from the application stage and could act as guinea pigs for the new closing process. That included making sure they were "friendly," Polaski said, "because if stuff went sideways we wanted to be able to put a paper note in front of them and have them understand they were part of a pilot."

With a handful of loans closed, Polaski said, Santander is now reviewing the experience before it moves forward with further e-warehouse lines. He expects that his company will move "robustly" into the e-closing space next year.

Radius is close to receiving Freddie Mac seller-servicer approval. Currently, the company hopes to sell roughly 20% of its originations to the agencies annually; the company is aiming for $1 billion in originations total next year. Selling to Fannie and Freddie is one piece of its e-close strategy. One remaining obstacle Polaski sees on the horizon is the lack of aggregators willing to purchase these loans.

"If the only place to sell these loans is Fannie, I just don't have the execution there," Polaski said. "If I had a handful of aggregators step in, I think we would move the entire book of business to e-note if the consumer has e-consented."

DocMagic, meanwhile, came out of the transactions with no items left on its to-do list. And while the move toward greater adoption of e-closings has been a slow one, Iannitti said he is happy with where things are.

"We're very pleased with the rate of adoption and rate of interest that we're seeing right now," Iannitti said. "It definitely took longer than we thought, but now we're seeing the momentum and feel that everything is moving in the right direction."

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Press Release:

DocMagic's cutting-edge technology seamlessly incorporates eSignature-enabled SMART™ Documents, a nationwide eNotary network, MERS eRegistry access, a secure eVault, and Investor eDelivery in a single comprehensive eClosing platform.

TORRANCE, Calif., Nov. 29, 2016—DocMagic, Inc., the premier provider of fully-compliant loan document preparation, regulatory compliance and comprehensive eMortgage services, announced that it has successfully completed the mortgage industry’s first comprehensive eClosing in Massachusetts, which included both lender and closing/settlement agent documentation, for radius financial group, inc. 

Unlike other eClosing technologies, DocMagic’s Total eClose™ solution is a single-source platform that contains all of the components needed to facilitate a completely paperless digital closing.  Paramount to achieving the end-to-end eClosing was eNotarization services provided by strategic partner World Wide Notary (WWN).  Once the eClosing process begins, documents requiring notary acknowledgment are automatically grouped by the system and electronically executed in the presence of the notary. The entire process takes only minutes and can happen in the comfort of the borrower’s home.

“There are a few mortgage technology vendors that have been working to deliver an eClosing for some time now, but they have all fallen short in various ways,” said Dominic Iannitti, president and CEO of DocMagic. “Most of these solutions are merely hybrids that require certain documents to be executed on paper and often force lenders to maintain numerous complex integrations. With Total eClose, however, you work with a single vendor, on a single platform, and clients need only access DocMagic or the company’s SmartCLOSE™ system to seamlessly and compliantly fulfill a paperless closing.”

DocMagic's solution includes all of the critical components required to execute a fully digital eClosing transaction: its dynamic eDocument library that features eSignature, eNotary, and MERS eRegistration capabilities, and the system automatically stores all data and documents within a secure eVault designed to make investor eDelivery as simple as a few clicks. The single-source platform creates a highly-efficient, transparent and fully compliant eClosing process that guides users through every step, logs all activities and creates an irrefutable audit trail. 

Also key to DocMagic enabling radius’ first eClosing was the participation of Santander Bank, which served as the eWarehouse lender.  “In addition to having integrated eNotary capability, one of the last remaining obstacles to adoption has been the reluctance of warehouse players to fund eNotes,” said Tim Anderson, director of eServices at DocMagic.  “We helped test and implement an eWarehouse process to eDeliver acceptance of the eNote to Santander Bank within seconds after the eClosing was completed.  This is an industry-altering achievement.”

DocMagic maintains detailed evidence of TRID compliance from the original loan application and Loan Estimate (LE) to delivery of the final Closing Disclosure (CD) with data, compliance determinations, calculations and documents all stored within DocMagic’s eVault for proof of compliance.

Also notable is that in 2014, the Consumer Financial Protection Bureau (CFPB) selected DocMagic as one of only 12 participants in its eClosing pilot project that was created to explore the benefits of digital mortgage technology for consumers.  CFPB Director Richard Cordray determined the pilot to be a success and encouraged lenders to implement an eClosing strategy.  Since that time, DocMagic has worked to perfect its end-to-end eClosing solution.

DocMagic’s integration with World Wide Notary (WWN) is an exclusive partnership for eNotarizations.  Founded in 2003 and based in Vernon, Texas, WWN is the developer of DigaSign, a proven solution that enables efficient, electronic notarizations.

 

About DocMagic

DocMagic, Inc. is the leading provider of fully-compliant loan document preparation, compliance, eSign and eDelivery solutions for the mortgage industry. Founded in 1988 and headquartered in Torrance, Calif., DocMagic, Inc. develops software, mobile apps, processes and web-based systems for the production and delivery of compliant loan document packages. The company’s compliance experts and in-house legal staff consistently monitor legal and regulatory changes at both the federal and state levels to ensure accuracy. For more information on DocMagic, visit www.docmagic.com.

We're excited to attend the upcoming MBA Annual Convention & Expo at the Hynes Convention Center October 23-26, 2016, in Boston, MA. Come see us in Booth 404 and let us tell you about our full suite of compliant & integrated eMortgage solutions:

 

• Compliance Management Solutions
• Comprehensive eMortgage Services
• Mobile Mortgage Technology
• Collaborative Closing Technology
• Intelligent Document Generation
• Print Fulfillment

We are also proud to announce our Total eClose™, DocMagic's eClosing solution, which seamlessly integrates every component of a totally paperless eClosing process, including:

• Access to an extensive eDocument library featuring eSignature technology
• Generation of a MISMO category one compliant SMARTDoc eNote
• eNotarization technology for all 50 states
• Direct connectivity with the MERS eRegistry
• Long-term storage within a secure, certified eVault
• An Investor eDelivery channel
• An irrefutable Audit Trail for proof of compliance
• Backed by a $5M set of Reps & Warrants, our TRID compliance is guaranteed

Our eClosing technology is available NOW! Let us show you the benefits of working with a single eClosing provider.

Press Release:

Fully TRID-compliant solution delivers superior service and a competitive advantage

TORRANCE, Calif., Sept. 29, 2016—DocMagic, Inc., the premier provider of fully-compliant loan document preparation, compliance, eSign and eDelivery solutions, announced that Corporate Settlement Solutions (CSS), a title and settlement services company, has successfully implemented DocMagic’s Total eClose™ solution.As a result, CSS can offer a completely new customer experience, gain a competitive advantage, and remain 100 percent TRID compliant at all times.

“We recognized early on that in order to differentiate ourselves from a crowded marketplace, it was paramount to offer elevated service to our clients,” said Jerome Jelinek, CEO and general counsel at CSS. “With the addition of DocMagic’s Total eClose, we offer lenders the opportunity to transform their mortgage origination process through the elimination of paper, thereby significantly reducing costs and increasing efficiencies.”

CSS combined DocMagic’s functionality, services and integrations into a single offering to create an easy-to-use, out-of-the-box eClosing solution. DocMagic’s Total eClose functionality unites eNote, eSignature, eNotary, MERS eRegistration, eDelivery, and eVault services to provide a highly-efficient, paperless end-to-end eClosing. In addition, documents that need to be notarized can be conveniently eSigned and eNotarized without leaving the comfort of their home.

“We are excited that CSS is successfully leveraging our Total eClose solution to provide a completely electronic closing process for their customers,” said Dominic Iannitti, president and CEO of DocMagic. “As a settlement service provider, it is impressive that CSS has taken a leading role in promoting the benefits of eClosings and as an early adopter, they will enjoy a significant advantage over their competitors.”

After the introduction of TRID and its increased liability for lenders and their assignees, if you originate, sell, buy or service loans, you must be able to demonstrate TRID compliance years after a loan closes. DocMagic’s system provides electronic proof and evidence of compliant transactions for future audits with a date and time stamp audit trail of everyone who has touched the transaction at any level. From the original loan application and Loan Estimate (LE) to receipt of delivery of the final Closing Disclosure (CD), data, calcs and documents are stored in an eVault to provide the ability to replicate proof of compliance.

With TRID’s increased compliance requirements and soon the implementation of the new Uniform Closing Dataset (UCD) requirement, the future is in fully-electronic transactions that help lenders meet strict timing requirements and provide the ability to fully recreate all compliance checks at every point in the transaction. The CFPB and industry experts agree that it’s better to adopt and implement the technology and processes to make eClosings a reality now as opposed to later.

About DocMagic
DocMagic, Inc. is the leading provider of fully-compliant loan document preparation, compliance, eSign and eDelivery solutions for the mortgage industry. Founded in 1988 and headquartered in Torrance, Calif., DocMagic, Inc. develops software, mobile apps, processes and web-based systems for the production and delivery of compliant loan document packages. The company’s compliance experts and in-house legal staff consistently monitor legal and regulatory changes at both the federal and state levels to ensure accuracy. For more information on DocMagic, visit www.docmagic.com.

About CSS
Corporate Settlement Solutions (CSS) is a dynamic, forward-thinking group of real estate settlement service professionals with a focused passion for providing a superior customer experience. The company started as a local title agency in northwest Michigan in 1992. CSS’ growth fostered expansion into a regional vendor management company offering a full range of title, closing, valuation, flood, and recording products. The company offers powerful title software for accurate and efficient
title and settlement transactions as well as an and-to-end eClosing solution. For more information, go to www.visitcss.com.