Mortgage QC Case Study: Academy Mortgage
MetaSource has served Academy Mortgage Corp. with mortgage file quality control (QC) and audit services for the past four years. In addition to helping Academy is in compliance with mortgage QC regulations from Fannie Mae, Freddie Mac and FHA, MetaSource does it all for half of what it would take Academy to do it in-house.
Founded in 1988, Academy Mortgage is one of the nation’s largest and most respected independent mortgage lenders. Unlike banks and mortgage lenders that consolidate operations and service offsite, Academy has the distinct advantage of being a direct lender. This means that Academy Mortgage performs all loan processing, underwriting, closings, and funding at 200 local branch offices located all over the country.
Mortgage QC by the Numbers
MetaSource provides Academy Mortgage with the following mortgage QC audit services:
- Post-Close Audits: approximately 1,080 mortgage files per year (10% of 10,800)
- Discretionary Post-Close QC Audits: as required by the Academy Mortgage executive team, which typically include high LTV and low FICO loans, as well as when a new underwriter needs review
- Adverse Action Audits: about 10 files per month to ensure the proper notice has been provided to those applying for credit
Mortgage QC Results
The cost of Academy Mortgage QC is approximately 50% less than what it would cost to do it in house, every year by outsourcing mortgage compliance audits to MetaSource. This is due to the following savings:
- The cost of one full-time, in-house auditor
- The cost of one part- or full-time support staff member
- Auditor training and keeping up with updates from Fannie Mae, Freddie Mac, FHA, VA, HUD, and the CFPB
- The need for one manager to provide part-time supervision/oversight
The Academy Experience
According to Academy Mortgage’s senior manager of quality control: “I am very happy with MetaSource. They are a responsive partner, excellent to work with and an extra set of eyes for quality control. They cater to our needs, which is very important and we do collaboration calls and keep in communication so nothing falls through the cracks. I have recommended MetaSource to other mortgage originators.
“I love MetaSource’s QLink quality control software. I use it mainly for self-revisions and calculations. I have to do a final risk rating every month and this program allows me to do this manually.”
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