Truv is thrilled to announce its new collaboration with Freddie Mac to simplify mortgage lending processes through its automated asset verification solution. The collaboration centers on Freddie Mac’s Loan Product Advisor® (LPA®) asset and income modeler (AIM), which automates the assessment of borrower assets, income, and employment for lenders.
What’s New?
For loans where a Truv asset report has been pulled and submitted to LPA, LPA will now assess for securities and retirement account representation and warranty (R&W) relief eligibility. This expands automation capabilities by assessing R&W eligibility related to the borrower’s investment accounts, including brokerage and retirement accounts.
Eligible account types include:
- 401(k) accounts
- Individual Retirement Accounts (IRAs)
- IRS-recognized retirement accounts
- Brokerage accounts: stocks, bonds, mutual funds, US government securities, non-retirement securities
- & more
Benefits for Mortgage Lenders
- More opportunity for R&W relief
- Reduced risk of fraud and buybacks
- Expanded borrower qualifying options with a wider range of accepted asset types
- Increased productivity by reducing time spent collecting complex securities and retirement account statements to underwrite loans
“The integration with Truv demonstrates our continued focus on reducing manual processes and increasing automation to achieve effective loan origination operations,” said Daniel Miller, Freddie Mac Single-Family Senior Director, Distribution Providers. “Process automation is especially beneficial for asset documentation, both in the collection and assessment process.
Advantages of Truv Verification of Assets (VOA)
Truv’s direct-to-source VOA solution connects to 98% of U.S. financial accounts, leveraging 75%+ OAuth integrations for secure and seamless consumer experiences. With 13,000+ financial institutions in Truv’s network, borrowers can permission access in seconds, reducing friction and increasing verified data pull-through rates above 55%.
“The ability to validate investment and retirement accounts for R&W relief represents a major advancement with Truv’s verification of assets solution,” said Kirill Klokov, CEO of Truv. “With Truv, lenders have access to the tools they need to confidently assess these assets while reducing their risk exposure and streamlining the origination process.”
Getting Started
By securely retrieving asset information directly from borrowers’ financial accounts, the Truv solution is built to simultaneously decrease origination costs and minimize risk exposure for lenders—all through a streamlined, single-step process.
Truv and Freddie Mac are dedicated to building lenders’ businesses through innovation, further streamlining verifications for a smoother, more efficient process. The new features are automatically available – no additional integration is required.
Contact the Truv Team to learn more.
