Tuesday, December 7, 2010

Controlling Company Risk in Mortgage Lending


A mortgage loan has many stages which it goes through in its life. Through the initial application all the way to the sale, there are many operational risks that can occur if proper procedures are not taken. Most famous case in point is Country Wide not properly disposing of confidential documentations which lead to a massive investigation of the company.
Here are a few ways to reduce operational risks within your company:
  • Make sure all your information stored online is secure and as “hack proofed” as possible
  • Avoid silo, aka assembly line, ways of doing business and instead engage in trusted communication practices throughout the entire company and vendors
  • Do not overlook issues within loan files to try to get the job done quickly
  • Make sure all confidential materials are properly disposed of, most likely through shredding

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