Compliance Archives - Cogent QC: Award-Winning Loan Quality Control & Compliance Software

Automating Workflows

March 29, 2018 By Kaan Etem

The mortgage QC sector has evolved to the point where most system providers automate the basic workflows in one way or another: import loan record data, sample loans, conduct audits, reverify documentation, send feedback to business units in the field, resolve findings, and generate reports.

These aspects of the quality control process are well-honed and mature, so it’s comparatively easy to build systems and interfaces to manage them. The question is, what happens when you introduce different workflows, new workflows, or even new audit types?

Cogent’s system architecture, development staff and business model are aligned around helping lenders customize and automate their workflows and integrate them with other workflows in the organization.

If you’d like to hear about how we’ve helped our clients automate their processes, call us or email us at the coordinates at the top of the page. We’re happy to share.

Lines of Defense

August 26, 2015 By Kaan Etem

Here’s a good description of the ‘lines of defense’ approach that many financial institutions are taking to quality control, operational risk management and compliance risk management. Without a framework like this, it becomes much more difficult to meet today’s enhanced regulatory scrutiny, increasingly complex regulatory requirements and rapid pace of regulatory change.

HUD Introduces Defect Taxonomy for FHA Lending

July 7, 2015 By Kaan Etem

In a growing trend towards streamlining and standardization of quality control and compliance methodologies, HUD has introduced a Defect Taxonomy in its “FHA’s Single Family Housing Loan Quality Assessment Methodology“. This document lays out the methodology that the FHA plans to adopt to improve its own QA efforts.

Knowing how FHA will be evaluating loans is helpful in designing your own QA program. Particularly useful is the definition of nine defect categories, numerous sources/causes for the defects, and four levels of defect severity. These can be roughly translated in ‘Cogentspeak’ to audit question categories, preset comments, and findings levels respectively.

For those configuring their Cogent FHA audit shells: your work has just become easier and more complex at the same time.

Compliance Humor

December 1, 2014 By Kaan Etem

So many industry professionals have been wrestling with it in 2014 that “compliance” may have become the industry’s word of the year. The jury’s still out but it’s never too early to joke about it.

Happy holiday season!