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Client Bulletin: December 12, 2023

A Change in the Satisfaction Process

We are enhancing how we handle the satisfaction process to better reflect and meet the timing requirements for each state.

Previously, Cenlar requested original collateral docs in all states, even though only some states/territories require these docs be mailed to the homeowner. Beginning Feb. 1, 2024, we will only request original collateral in those states that require docs to be mailed to the homeowner. Currently those states are Louisiana, Maryland, New Hampshire, Puerto Rico, Washington, D.C. and Texas (cash-out refinances). We will also do so for co-op documents in all states where we service co-ops.

In all other states, we will not be requesting the release of collateral when a loan pays off, and it will be your responsibility to manage the release and destruction or storage of these documents with your document custodian. If you have already sent us an image copy of the recorded mortgage and any other recorded documents (assignments, mods, or POA), we will not need to request any original documents or a copy of those documents, except for the states mentioned above. If we don’t have what we require to satisfy the loan, we will request that you upload/provide an imaged copy that would impact the satisfaction of the mortgage, such as assignments, modifications or POAs via the Current Event data field in the Daily Pending Sats Report.

As we’ve previously communicated, we ask that you provide all of these documents at the time of loan boarding via the New Loan Meta cabinet, using doc type ASIDL106. When a loan pays off, we will search the New Loan cabinet as a first step for all recorded mortgages (and intervening assignments, modifications, POAs, if applicable) so that we can prepare the satisfaction as quickly as possible. If these images are not provided at loan boarding, they should be uploaded to the New Loan Meta cabinet using doc type ASIDL106 upon receipt of the Daily Pending Sats Report.

Last year, Cenlar began providing you a Doc Custodian Client Report that is distributed quarterly on the first day of each quarter. You will continue to receive this report, so that you can perform a quarterly review of document custodian data. We will also distribute a report of all PIF loans, with a breakdown of what loans we requested the release on and what loans you will need to determine how to handle the destruction of the documents held by your document custodian.

Any collateral that is sent to Cenlar that was not requested/required by Cenlar (required to be sent to the homeowner per state requirements), including those sent directly to us by a doc custodian in error, loans that are not paid in full or transferred loans that did not payoff while serviced by Cenlar will be overnight mailed back to the sender. This expense will be passed through the invoice process.

We believe this change will mean a better experience for you, as we will be able to navigate the satisfaction process more efficiently, with fewer fees for you. Thank you for your partnership as we implement this enhancement.

VA-Recommended Foreclosure Moratorium in Place through May 2024

In late November, VA issued a press release and, later, a circular strongly encouraging a foreclosure moratorium on all VA-guaranteed loans through May 31, 2024.

Cenlar has decided to honor the VA’s recommendation to hold foreclosures on occupied properties as part of our baseline handling for our clients’ VA portfolios. As of Dec. 1, 2023, all occupied VA property referrals and foreclosures have been placed on hold and previously scheduled foreclosure sales have been postponed.

Cenlar upgraded to A-plus rating by BBB

We strive each and every day to be your trusted partner, and part of that commitment to you means consistently providing the very best customer experience for your homeowners. We’re always fine-tuning how we serve homeowners, including strategically making investments in order to adjust to their needs.

The most important measure of our success is, of course, the feedback from you and your homeowners. But we’re also paying attention to external indicators. To this end, the Better Business Bureau (BBB) upgraded Cenlar in late November from an A-rated business to an A+. When determining its ratings, the BBB analyzes a business’ marketplace behavior, including how the business responds to consumer complaints and how transparent and truthful a business is. The rating reflects BBB’s opinion of the quality of the interaction between a business and its customers.

At Cenlar, we live our core values — trust, integrity, caring and respect — every day. We believe that one of the very best ways to demonstrate our values is by baking them right into our interactions with you and your homeowners.
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