Overview

Calyx® PointCentral® is an internet based application package consisting of both the Point® desktop client and the PointCentral Server product. The Calyx PointCentral solution offers the end-to-end functionality that brokers, bankers, and credit unions need to close, fund and ship more loans faster. By incorporating ideas from our documented Best Practices, you’ll be able to appreciate the features that have been added over the last few years, which will allow you to improve operational efficiencies and increase profitability.

The goal of the Funding Department is to ensure all information on the closing documents are accurate and that funds are correct, requested and wired to the appropriate entities to finalize settlement on a loan. The best practices will provide the recommended workflow for Funders to follow in order to attain the most efficiency from the system. It is the individual Funders’ responsibility to ensure the information is correct and accurate for the funding of the loan. Data entry is minimal as information is input from the Document Preparer (Closer). The Funder will need to update any information that changed from the initial closing documents, keeping in mind that a redraw of the closing documents may be required.

A Best Practices RecommendationFunding E�ciently

The Funder will need to review the same screens prepared by the Closer to confirm the data has not changed between drawing of the documents and funding. The Funder will need to access the screens from the eLoanFile and Banker menus. He/she will also need to review the Conditions, Closing & HUD-1, Fees & Impounds, Warehouse & Purchase Advice and HMDA Reporting screens to complete the funding process.

Funding Screens

The eLoanFile screens are broken into several areas. The Closer will focus on these screens to confirm that the loan information is correct. Each screen contains pertinent information that should not be overlooked.

eLoanFile Menu

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The Borrower screen contains the Borrower, Co-Borrower and credit information. The Funder needs to confirm the Borrower(s) names are correct. If any information is not accurate, the Funder will be responsible for updating the information. Depending on whether changes are made, the Funder may need to request the file be reviewed by the Underwriter to ensure the loan does not have problems that may cause the loan to be ineligible for funding. This is best accomplished with an email or routine use of the Conversation Log, a key tool in Calyx Point, to ensure that all parties are in continuous communication throughout the life of the active loan until final disposition.

eLoanFile > Borrower

The Property screen contains the address, appraisal, legal and flood information. The Funder must verify that the subject property in the system matches the address and legal description listed in the preliminary title report/title commitment. It is critical the information is accurate for the final title policy. Note: You must go to the Banker > Underwriting screen and click the “Appraisal” button in order to view the appraisal expiration date.

eLoanFile > Property

The loan product screen contains program specific criteria for the loan. The Funder should check that the appropriate features of the loan have not changed. Such features include prepayment, buydown, etc.

eLoanFile > Loan Product

The FHA/VA screen must be completed for FHA or VA type loans. These screens would most likely be populated by the Underwriter. This information will populate from the 92800.5 and 92900-A forms. Although the Funder is not responsible for data input on this screen, they should make sure the information has been completed.

eLoanFile > Government FHA/VA

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The Banker screens will be used by all of the mortgage banking departments. The funding process typically involves the Conditions, Closing & HUD-1 and Fees & Impounds screens.

Banker Screens

The Condition screen should be reviewed by the Funder. The Funder needs to confirm all Prior-to-Funding conditions have been met before funding the loan. In most cases the Funder may be able to sign off the funding conditions; however some conditions may require the Underwriter to review and sign off the condition(s). (Note that all parties at this point are using the same Conditions list that can also be accessed by the “Conditions” button at the bottom of the Underwriting screen.) Depending on your company process the Funder may be responsible for adding funding conditions. In this case, we recommend your company build a conditions pick list, this will ensure consistency and accuracy. If the condition is not in the pick list the Funder can manually add a condition.

Banker > Conditions Screen

The fees and impounds screen is one of the most important screens for funding. It is critical the information is accurate and meets the regulatory requirements for disclosure purposes. The Wire Amount that is calculated here will also carry forward onto the Warehouse & Purchase Advice screen. All dates for calculating funding figures should be entered on this screen.

The Funder may need to update the Prepaid Interest section in order to match the Final HUD-1.

Banker > Fees & Impounds Screen

Once the information is reviewed, the Funder should click on the “Compare GFE” and “Closing fees” button. The Funder must make sure the fees on the disclosed GFE and Final HUD-1 are within tolerance thresholds. Inputting complete and accurate information helps maintain the integrity of the data as well as the overall history of the process.

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The funder needs to review the mortgage insurance, hazard and flood insurance information. It is important this information is input as it carries over to the post closing department.

The Fees & Impounds screen > Escrow & Title screen is where the wire recipient information will be entered, and is used for storing the destination location of the wired funds needed in order to close the loan.

The Funder needs to review the Closing screen. The Closing screen contains unique borrower information for the loan. If the loan has any AKA’s, Power of Attorney, non-borrowing entity and cosigner information, this is the screen where the Funder will confirm the data is completed and matches the loan documents.

The Funder should input the pertinent dates for funding. Such dates would include the Estimated HUD-1 Reviewed, Funded Date and Rescission Date. Completing this information will help capture the history for the loan. Note: As mentioned above, the dates should actually be input on the Fees & Impounds screen as this is the screen which will be used to calculate the funding figures.

If any payoffs were required, the Funder can click on the “Payoffs” button and confirm the creditor and amount. Typically, these are also conditioned for and may be a prior-to-funding condition.

Upon completion of the review and verification that all information has been updated and completed, proceed with wire request. After the Funder has balanced with the settlement agent, the wire request process can begin. The Funder will need to select the type of funding and input the advance amount and warehouse lender information. (Reminder: The Fees & Impounds screen > Escrow & Title screen is where the wire recipient information is input to show where the funds are to be wired to close the loan). Accurate information is important so the Funding Fees Worksheet prints the correct wire request information (Note: The Funding Fees Worksheet prints

Insurance Button

Escrow & Title Button

Banker > Closing screen

Banker > Warehouse & Purchase Advice

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from the Fees and Impounds screen). This form will be delivered to the accounting department so they can request the funds.

If advance calculation is in question, the Funder must contact a manager or the accounting department to confirm or receive the advance amount for the loan.

Upon completion of the wire, the Funder should be sure to input the advance and funding dates and prepare the collateral package for the investor. Depending on your arrangement, the collateral package might be delivered to the warehouse bank prior to wiring the funds. Reports can be designed to track when collateral packages have been sent to the warehouse bank or investor (if known).

Funding Efficiently

Conclusion

Calyx Software 3500 Maple Ave, Ste 500 Dallas, TX 75219 – 800.362.2599 – www.calyxsoftware.com©2011 Calyx Software. All rights reserved. Calyx, Point, PointCentral, and WebCaster are registered trademarks of Calyx Software. pg. 5

There is minimal data entry involved when the Funder performs her/his function. However, you can save a lot of time and possibly prevent a loss of funds, if you know where to look, in order to verify your funding numbers. In this recommendation, we’ve pointed out different fields located in the various screens, in order to ensure you have a complete understanding of how to fund using Point. Having accurate data is definitely the key to success.