Mortgage Enterprise Risk Management Framework (MERM) for Mortgage Lenders and Investors
Press Release Archive - May 2007

Visionet Systems Offers Mortgage Enterprise Risk Management Framework (MERM) for Mortgage Lenders & Investors

- Solution enables lenders to define and manage risk management policies -

NEW YORK, N.Y., May 21, 2007 – Visionet Systems has launched its Mortgage Enterprise Risk Management Framework (MERM) solution that enables lenders and investors to define, track and report on operational performance. The news was announced today at the Mortgage Bankers Association’s Secondary Market Conference and Expo in New York.

Mortgage lenders generally have a fractured risk management process divided among a variety of business groups and interests. Typically, an enterprise risk management strategy is absent, placing the overall organization at risk. As demonstrated by a number of recent failures, risk management can have little effect without a mechanism to define, quantify, manage and track risk across an enterprise in a rationalized fashion.

Visionet’s MERM Framework is the coupling of best practice processes, metrics and automated tools to Define, Measure, Analyze, Improve & Control (DMAIC) and report on operational performance. The solution employs a “middleware” concept that connects all data and document inflow to a mortgage operation that applies, tracks and reports on task execution against loan level attributes. MERM ensures that loans entering the system are governed by prescribed product, corporate and regulatory governance as well as deal guidelines. 

All departmental reviews such as corporate compliance, pre/post purchase Quality Control (QC), underwriting Quality Assurance (QA), post close, loan boarding, repurchases and investor delivery are consolidated to provide real-time management tracking and executive dashboard reporting and analytics. Throughout the process, history is maintained and scorecards are drawn. Loans become subjected to fuller or lesser reviews based on scorecards of product, seller and channel history.

Visionet’s MERM framework is comprised of VisiLoanReview (Loan Level Data Integrity and Compliance), VisiRepurchase (Repurchase Demand and Claims Management), VisiHCLAS (High Cost Lending Module), VisiTRAK (Document Tracking). These engines enable mortgage banks to define risk management policies as well as track and enforce them at the operational level.

“Visionet Systems is committed to helping lenders identify and remove inefficient processes,” said Arshad Masood, president of Visionet Systems. “We designed our MERM solution to help lenders gain control over the risk management process. Lenders and investors now have an enterprise-wide mechanism with which they can better enforce operational performance standards.” 

About Visionet Systems

Cranbury, N.J.-based Visionet Systems is a full service mortgage consulting and business process outsourcing company that delivers products in the best-of-breed philosophy. Using a combination of consulting, metrics-based technology solutions and business process outsourcing, Visionet Systems helps lenders identify and remove inefficient processes to improve profitability. Founded in 1995, the company’s customers include mortgage lenders and servicers. 

For more information, visit www.visionetsystems.com

Visionet Systems Inc.
www.visionetsystems.com
3 Cedarbrook Drive
Cranbury, NJ 08512
Phone 609.452.0700
Fax 609.655.5232
mortgage@visionetsystems.com

Contact:

Arshad Masood
Visionet Systems Inc.
609-452-0700 Ext. 1119
arshad@visionetsystems.com

Cliff Johnson
Visionet Systems Public Relations
(609) 409-1063 x1116
clifford.johnson@visionetsystems.com