The GE Compliance Checker: A Generic Tool for Assessing Mortgage Loan Resale Requirements

AAAI Conferences

This paper describes the GE Compliance Checker [GECCO], a knowledge-based application for use in the home mortgage industry. GECCO is a tool for automating the information-intensive processes of underwriting and reselling mortgage loans. GECCO was initially designed and deployed for one business component of GE Capital Mortgage Corporation [GECMC], and then successfully integrated into three other GECMC businesses. Its first application was for third-party underwriting. This was followed by the use of GECCO in wholesale pricing and registration, and in direct loan origination. Most recently, GECCO has evolved into a commercial product offered for purchase to mortgage lenders. GECCO has significantly improved the underwriting and resale process: quality control has become much more effective, adding consistency, completeness and robustness to the decision making process; the quantity of loans processed has increased; customer service has been enhanced; and a once "subjective" process has now been standardized. The successful use of AI has also permeated GECMC business application software to the extent that AI has become a requirement rather than a remote technology used in an isolated application.


anni

AAAI Conferences

Fannie Mae, the nation's largest source of conventional mortgage funds, has made a commitment to use technology to improve the efficiency of processing a loan by reducing the time, paperwork and cost associated with loan origination. The Desktop Underwriter (DU) system which was developed as a result of this commitment, is an automated underwriting expert system that applies both heuristics and statistics to the problem. The system supports both the wholesale and retail mortgage environments and is built to reason and underwrite loans with incomplete, unverified and conflicting data. The system generates a credit recommendation based on the loan's conformity to credit standards and an eligibility recommendation based on the loan's conformity to eligibility


Countrywide Loan-Underwriting Expert System

AI Magazine

Loan underwriting is the process of evaluating a loan application to determine whether the loan should be funded. The process often starts with a potential borrower walking into a branch office and requesting a loan to purchase or refinance a home. A processor asks the borrower to fill out an application, setting in motion a lengthy information-gathering process in which as many as 1500 data-element pieces will eventually be collected. This loan information includes items about the borrower's employment, income, assets, liabilities, and monthly expenses. During the process, a credit report and appraisal will be ordered from a third-party vendor.


Countrywide Loan-Underwriting Expert System

AI Magazine

Countrywide loan-underwriting expert system (clues) is an advanced, automated mortgage-underwriting rule-based expert system. The system was developed to increase the production capacity and productivity of Countrywide branches, improve the consistency of underwriting, and reduce the cost of originating a loan. The system receives selected information from the loan application, credit report, and appraisal. It then decides whether the loan should be approved or whether it requires further review by a human underwriter. If the system approves the loan, no further review is required, and the application is funded. clues has been in operation since February 1993 and is currently processing more than 8500 loans each month in over 300 decentralized branches around the country.


Countrywide Loan Underwriting Expert System

AAAI Conferences

Countrywide Loan Underwriting Expert System (CLUEZP) is an advanced, automated mortgage underwriting rule-based expert system. The system was developed to increase the production capacity and productivity of Countrywide branches, improve the consistency of underwriting, and reduce the cost of originating a loan. The system receives selected information from the loan application, credit report, and appraisal. It then decides whether the loan should be approved or whether it requires further review by a human underwriter. If the system approves the loan, no further review is required and the application is funded. CLUES has been in production since February 1993, and is currently processing more than 8500 loans per month in over 300 decentralized branches around the country.