A simple, yet unique way to help lower loss severity rates, reduce reserve requirements and restore long-term confidence in the mortgage origination process.
UDM™ provides daily alerts to lenders, mortgage insurers and investors about activity that may represent potential risks
Nearly 14% of all mortgage borrowers, including those with solid credit scores and debt-to-income (DTI) ratios, apply for at least one new trade line during this period. A mere 3% increase in DTI during the quiet period can derail the origination process and results in costly loan repurchase demands.
Undisclosed Debt Monitoring™ (UDM), developed by Equifax, continuously monitors a borrower’s files for increased credit activity during the quiet period between the original credit file pull and loan closing.
Another option might be a Refresh Report. With a Refresh Report, you can obtain an updated copy of the borrower’s credit report through use of a “soft inquiry,” done generally just before a loan is closed.