Mortgage, Loan, & Property

Why Choose C&A?

  • C&A Consulting has been at the forefront of advising firms throughout the mortgage loan lifecycle spectrum, ranging from loan due diligence to servicing escrow payments, securitization and borrower communications. We provide unique focus, talent and skills that seamlessly combine strategic advisory services, efficient execution and tactical support.  We advise firms on managing the entire loan business process lifecycle.
  • C&A Consulting values our partnership with our clients to explore innovative strategies and implement tactical solutions that deliver growth and elevate your business.
  • We lead with game-changing, innovative ideas and transformational thinking that produce real benefit for the residential and commercial mortgage industry.
  • C&A consultants bring deep expertise in the operating protocols and business practices of lenders, servicers, borrowers, investors, regulators and other market participants. We also provide insight and custom recommendations involving all major residential mortgage solutions and products in the industry.
  • We provide technology consulting services to a variety of capital markets participants, to support their mortgage lending programs, servicing portfolios and investments.

Our Expertise in Mortgage, Loan & Property Services:

  • Custom evaluations of operating protocols, industry benchmarking, and strategic due diligence reviews of possible financial service portfolio acquisitions
  • Identification and recommended selection of vendor management decision-making processes whether to outsource or retain IT infrastructure management or other services
  • Project management and guidance in preparing companies to meet regulatory compliance, audits and financial reporting examinations and associated requirements
  • Advise on purchase, securitization and sale of residential mortgage loans
  • Empower investors and management on managing the entire loan lifecycle – from origination, to post-closing, servicing and securitization
  • Focus on growth and innovation. No matter what part of the loan cycle you are involved in, we support the transformation and re-invention of your business in today’s markets.  We work alongside you to execute innovative and competitive product and service strategies and to deliver operational expertise.
  • Define go-to-market strategies. Based on our insight and expertise in the industry, we create scalable, executable business and project plans.
  • Navigate regulatory and process change. We are on the cutting-edge of developments in the industry, and advise parties on how to navigate regulatory change by developing flexible process and technology platforms to manage high rates of change and servicing volume, and prepare for the unexpected.
  • Recommend effective structure and partners. We partner with best-in-class third-party vendors, including mortgage servicers, custodians, clearing banks, and technology providers — to deliver outcomes in a controlled manner.

Business

Drivers

The mortgage loan servicing and origination industry faces a challenging business environment including: Increasing loan product diversity; complexity in servicing; heightened regulation; compliance and oversight; rapid technology advances; and, escalating costs.

Complexity in originations, servicing and investing

Mortgage industry participants need to examine their operations and processes, to execute, and fulfill, changed processes and protocols.   New financial reporting and disclosure requirements have contributed to this complexity.

Companies must become agile to drive greater efficiency and productivity in asset management, capital markets, treasury/funding, finance, accounting, legal, tax, business controls, risk management and property appraisal, etc.

Increased Financial Services Regulation and Compliance

The financial services industry faces an increasingly complex world of federal, state and local industry regulations, including new reporting and compliance guidelines regarding portfolio operations, asset loan quality and documentation standards.

Companies need to ensure greater oversight to keep pace with regulatory changes and compliance — including data verification and transparency.

  • In 2010, Dodd-Frank regulatory reform prompted the U.S. financial services industry to overhaul corporate standards and processes and ensure compliance with stricter mortgage underwriting, servicing and loan administration guidelines.
  • Government National Mortgage Association (GNMA, federal agency) now requests the largest mortgage servicers for an inventory of loans with missing documentation that cannot be verified by trust custodians.
  • Consumer Financial Protection Bureau (CFPB) or state/multi-state examinations are also making more demands for correction action where deficiencies are cited, including plans for remediation.

The risks and repercussions for failure to comply, can significantly damage corporate reputation and negatively impact the bottom line.

Information Governance – Data Quality, Integrity and Security

Managing information governance has added new challenges for the mortgage industry.  Companies must now develop operating standards to meet rigorous information governance guidelines around data quality, integrity and security.

Poor data quality, integrity and security can lead to poor asset loan management quality, legal risk, financial penalties and declining loan performance.

Examples of poor data quality, integrity and security:

  • Poor (or missing) documentation, such as recorded mortgages or title policies on home loans to be delivered to custodians, deed of trust, title policy, mortgage assignments
  • Manual input errors and unchecked data omission on both originated and purchased loans
  • Incomplete or inaccurate information being sent to the borrower for Loss Mitigation communications
  • Inadequate, or nonexistent, guidelines and protections for data access levels

Due Diligence essential to Business Strategy

C&A Consulting believes in building a proactive strategy to manage due diligence, financial exposure and risk and to enhance operating efficiency, productivity and growth.

  • Due diligence review includes automated tracking, record-keeping (creation, retention, distribution) and formal auditing processes
  • Strengthening audit compliance and risk management through process improvement are key business priorities for business control executives

Rapid Technology Advances

Industry participants must continuously evaluate their operating structures and technology choices to drive efficiency and competitive advantage.

Rapid technology advances in software and hardware create new challenges, such as difficulty in managing many competing products/solutions and acquiring the right internal skills.  Poor technology investments can materially impact, or impede, a firm’s competitive capabilities and market position – now, and into the future.

  • Technology structure, strategy and business process management need to be flexible to accommodate unique underwriting and maintenance processes.
  • Focus on Loss Mitigation products and processes, post HAMP (Home Affordable Modification Program) decommissioning, and private label programs will rise.
  • Well-focused technology enables data analytics, mobility, software-as-a-service or cloud-enabled strategies and solutions, within your organization.
  • Properly defined technology efforts can yield both a faster response to changes in the business, as well as minimize long-term costs.

Pressures of Escalating Costs in the Industry

The industry is challenged with providing more services at lower cost.  Mortgage service providers can expect escalating variable costs to place added pressure on the business.  In Mortgage Servicing, legacy PSAs will cap the ability of firms to pass costs through onto investors.

New regulation and compliance will add to cost structures, as will higher costs of control processes that can not leverage technology controls and efficiencies.

What / How C&A delivers

Key Business Outcomes

C&A Mortgage, Loan & Property practice and advisory services we deliver for clients:

Operating Effectiveness

  • Restructure (or ‘reconstruct’) operating structure, business practices, governance controls and processes
  • Revitalize and realign business operations and technology infrastructure
  • Develop and implement agile operating structures and next-gen solutions
  • Select and implement new systems (or enhancements to existing ones) that improve your business
  • Develop long-term plan to identify operational efficiencies
  • Transform technology platform infrastructure (identify technology, platforms and solutions, ‘cloud-enablement’, etc.)
  • Re-benchmark technology platforms and a firm’s operational ‘run-rate’
  • Review data, cybersecurity and encryption plan and support execution
  • Determine and recommend best-in-class third-party vendors and solutions
  • Insure operational controls are in place and functioning, including key vendors and SLAs

Risk & Regulatory

  • Enhance regulatory, governance and compliance management within an operating framework
  • Remediation of governance and compliance deficiencies
  • Redesign and enhance business process workflows to improve transparency, disclosure and reporting
  • Manage due diligence review and financial reporting
  • Automate processes and standards to strengthen business control environments and streamline operations
  • Bolster business controls and financial reporting – identify, measure and monitor key business controls across the enterprise

Management Practices

  • Develop world-class operating structures and processes to achieve best-in-class servicing outcomes
  • Strategic assessments of your business practices, operations and technology
  • Monitor, assess and value complex investments and develop strategies to optimize recoveries to creditors and investors
  • Transition key senior management roles
  • Training – assist oversight, compliance staffing, knowledge management