Mortgage, Open Banking, Partnership Announcements
Finicity and Ellie Mae Partner to Integrate Finicity’s Digital Verification Solution with Ellie Mae’s Encompass Digital Mortgage Solution
Integration provides verification of assets report to speed up lending process while improving the experience for lenders and their customers
SALT LAKE CITY, Utah and PLEASANTON, California – March 19, 2018 – Finicity, a provider of real-time financial data aggregation and insights, and Ellie Mae® (NYSE: ELLI), the leading cloud-based platform provider for the mortgage finance industry, today announced an integration agreement to provide Finicity’s digital Verification of Assets (VoA) solution through Ellie Mae’s Encompass® digital mortgage solution.
The mortgage origination process has increased in cost over the past several years, reaching almost $8,000, according to the Mortgage Bankers Association, doubling the cost since 2009. Additionally, consumers have increasing expectations for a fast and simplified experience. To address this, Finicity is leading the delivery of digital verifications that can help speed the process up to 11 days. First to market is the Finicity VoA report, providing a streamlined digital experience that rapidly and accurately validates a borrower’s assets and will be accessed through Encompass.
“Increased access to financial data is changing the way lenders look at underwriting and is playing a major role in moving lending to a fully digital experience,” said Steve Smith, CEO and co-founder of Finicity. “Working with a market leader like Ellie Mae to deliver on the promise of digitization is very exciting and will have significant impact on the origination process.”
Finicity is one of the largest financial data aggregators and uses consumer-permissioned financial data for its credit decisioning solutions. Through a digital verification process, lenders can shorten the time to close and reduce personnel and financial resources. Utilizing transaction data direct from financial institutions also improves accuracy and reduces fraud. Additionally, it provides borrowers a paper-free, hassle-free experience.
Ellie Mae is offering a true digital mortgage experience covering the entire loan lifecycle, so lenders can originate more loans, lower origination costs and reduce time to close. Ellie Mae’s connected community includes 230,000 users and thousands of service providers, and the Ellie Mae Network processes millions of transactions every month, touching approximately 30 percent of the residential loans originated in the United States. Finicity will leverage Partner Connect as part of the early partner program to offer income and asset verification to Ellie Mae customers.
Through the integration, lenders will be able to request an asset verification report in a single click. Once requested, a borrower will be prompted to complete a simple online process that identifies the financial information they want included and permissions the creation of the report. Lenders can review reports with bank-validated data in near real-time, shortening the verification process to minutes — instead of days.
“At Ellie Mae, our mission is to provide our lenders with innovative solutions to automate the entire loan lifecycle for a true digital mortgage,” said Parvesh Sahi, senior vice president of business development for Ellie Mae. “We will continue to embrace technology partners like Finicity to change the way lenders and consumers engage in the loan manufacturing process. We’re happy to partner with Finicity to provide solutions through our Encompass NG Lending Platform and our Encompass Connect product suite to help realize the vision of a truly digital mortgage.”
Finicity is an authorized asset report provider as part of Fannie Mae’s Day 1 CertaintyTM initiative. Finicity is also part of the Single Source Validation (SSV) pilot, meaning Fannie Mae will utilize transaction data from Finicity reports to validate assets, income and employment. A broader rollout of SSV is planned later this year and will build on Fannie Mae’s Day 1 Certainty initiative. Finicity is also an authorized Freddie Mac asset validation report provider, and Freddie Mac and Finicity are partnering on new methods to validate income from payroll deposit data from bank statements.
To stay up to date on all Finicity company and product announcements, visit the website at www.finicity.com.
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Finicity enables a financial data-sharing ecosystem that is secure, inclusive and innovative. Through its real-time financial data aggregation and insights platform, Finicity provides solutions for financial management, payments and credit decisioning. It is also leading the development and promotion of industry standards. The company has developed more than 16,000 bank integrations, with the vast majority through connections that provide access to formatted bank data, improving information access and accuracy. Finicity is the winner of API World’s 2016 Finance API of the Year.
About Ellie Mae:
Ellie Mae (NYSE:ELLI) is the leading cloud-based platform provider for the mortgage finance industry. Ellie Mae’s technology solutions enable lenders to originate more loans, reduce origination costs, and shorten the time to close, all while ensuring the highest levels of compliance, quality and efficiency. Visit EllieMae.com or call 877.355.4362 to learn more.