Enhancing Lending Opportunities Through Risk Transfer

Navigating the nuances and difficulties around developing a comprehensive equity lending program requires mitigating risk and limiting exposure, allowing for expansion without compromising the bottom line. We’ve cultivated equity lending insurance programs that can be customized to meet your institution’s needs.

Equity Loan Default Coverage

Our Equity Protection Program (EPP) increases the loan options available to lending institutions by expanding loan guidelines and parameters for a variety of home equity products in a fully insured portfolio program. By insuring loans with augmented loan-to-value thresholds, debt-to-income ratios and credit score ranges, the lender is able to expand the equity loan offerings without additional risk to the lender. In the event of default, the full balance of the covered loan is payable after approximately 90 days, without incurring expensive foreclosure, charge-off or ROA charges.

EPP delegated guidelines include:

  • Debt to Income Ratios as high as 45%
  • FICO scores as low as 660 for most loans and lines of credit
  • Maximum Loan to Value of 100% (133% for home improvement)
  • Up to $250,000 in limits for loans/lines

Mortgage Service Provider Lien Coverage

Our Mortgage Service Provider (MSP) program offers lenders a streamlined approach to coverage for errors or omissions occurring in lien searches and mortgage origination services for equity loans. Under MSP, the mortgage services rendered by the provider are covered against the economic damages of an undiscovered lien or recording error in the event of loan default. Providing insurance coverage to the underlying loan allows the mortgage processor to simplify lien searches and mortgage origination services for equity loans and lines while meeting the stringent requirements of financial institutions.

Lenders currently utilizing EPP may securely upload information to our team here:

Client Monthly Reports »
Client Loan Endorsements »

Let’s work together to keep your programs prosperous.

Practice Leaders

Kathleen Ayer

(877) 801-7265

Scott D. Upmal

(732) 530-5757