Sep

Client Bulletin: September 30, 2022

Complete Cenlar’s Annual Client Experience Survey by Oct. 7

Your opinion is a vital piece to our evolution as an organization, so we’ve extended our client experience survey by a couple days to allow you a bit more time to complete it. Friday, October 7 is now the last day our annual client experience survey will be available for you to complete.

For those who have already taken the time to complete the survey, thank you. Your opinion of how we’re doing is essential to the service we provide to you and your homeowners.

If you haven’t gotten around to finishing the survey yet, please consider filling it out today. The survey should take no more than 5 to 10 minutes to complete, and your feedback will be shared across our organization to serve as a guide for the next steps in our evolution.

A link should have arrived in your inbox on Monday, September 19 from MarketCast (surveys@cenlar.marketcast.com). Be sure to check your spam folder if you can’t find the email in your inbox, and please don’t forward the survey on to anyone else — each link is personalized to you and your relationship with us. If you didn’t receive a survey or have any questions, please reach out to your client manager.

We’re making tremendous progress, but we know there’s always opportunity to enhance how we serve you and your homeowners. Thank you for your time and consideration, as we strive each and every day to be your trusted partner.

MOVEit Testing Window Ends Today

We’re continuing our preparations to upgrade MOVEit, the application we use to share files with you. As we have communicated in the Client Bulletin previously, the testing window for your organization to assure that the appropriate IP addresses are whitelisted then validated ends today (Friday, September 30).

We thank those of you who have tested already. For those clients who have not tested yet, we ask that you complete testing before close of business today, September 30, in preparation for the October 15 migration to the cloud. If you have concerns about your organization’s ability to meet the September 30 deadline, please contact your client manager.

Troubleshooting

We will continue to work with clients to resolve testing issues. If you have questions or issues, please send an email to MOVEitUpgrade@Cenlar.com with the subject line “[TESTING FAILED] Your Company Name.” Please describe your issue, and what you attempted in the body of the email.

We also are establishing a Cenlar Command Center to provide extra assistance as the October 15 cutover date approaches. We will share further details about how to reach this command center in a future communication.

Thank you again for your assistance as we enhance our technology to better serve you.

Cenlar to Begin Migration to SAML SSO for CenNet Access

We’ve begun our migration to Security Assertion Markup Language (SAML).

SAML is an industry-standard data exchange Single Sign-On (SSO) connection protocol that offers increased stability and security. With a SSO protocol, homeowners can move directly from your secure website or mobile application to CenNet fulfillment without the need for a second password validation.

SAML SSO has added benefits, however, enabling customizable CenNet mobile and desktop experiences, and allowing the use of deep links in electronic homeowner communications like emails and websites, so that homeowners spend less time logging in and get to the information they need on CenNet faster.

We’re in the process of identifying volunteers to pilot SAML, the first step in moving all of our clients over to the protocol. We’ve also started slotting our existing SSO clients for migration after the initial pilot phase concludes, as early as the first half of next year.

For more information, please reach out to your client manager.

Still Learning Director 7? Here’s Some Help

Following the retirement of Director 6, we have created two documents that can help you learn our new platform, Director 7.

Our Director 7 job aid walks through how to log-in, as well as changes within the new version. Our Director reference guide dives deep, with detailed information on everything within the platform. We’ve posted both for your reference on CenAccess.

Change in Fee to Perform Property Inspections on Default Loans

In order to ensure Cenlar and its clients are receiving a timely and quality property inspection, the fee charged by our vendor that performs property inspections on default loans has increased to the new GSE standard of $20. We anticipate this change will be effective in early October.

This is an increase of $5 from our previous fee. Property inspections on default loans are reflected in the homeowner’s monthly billing statement, and therefore are recoverable.

Continued Preparations for LIBOR’s Expiration

As you know, LIBOR (London Interbank Offered Rate) is set to expire in June 2023. In preparation for the date, we are delivering Cenlar’s version of the MBA’s LIBOR Consumer Disclosure to homeowners, and have prepared FAQs for our call center personnel to assist with homeowner inquiries.

We will continue to communicate with you periodically about this important change as LIBOR’s expiration date nears.

Why discontinue the LIBOR index?

Over the past decade, financial regulators have expressed growing concern regarding the structural vulnerabilities and robustness of LIBOR, as the LIBOR rate became a less reliable benchmark. Due to continued decrease in confidence in LIBOR, the Alternative Reference Rates Committee (ARRC), a group of private-sector firms was convened to ensure a successful transition away from the LIBOR index.

What will Cenlar use in place of LIBOR?

Cenlar will be transitioning all accounts with LIBOR to an index based upon SOFR (Secured Overnight Financing Rate) at the time LIBOR is discontinued, unless directed otherwise by you.

Why will Cenlar use a SOFR-based index in place of LIBOR?

Cenlar’s decision to transition to a SOFR-based index aligns with government-sponsored enterprises (GSEs), most other financial institutions, regulators, as well as the LIBOR Act, and supports minimization of the potential economic impact on both borrowers and investors to the fairest extent possible. SOFR is more robust and resilient than LIBOR, and is less vulnerable to manipulation because of how it is produced.

On March 15, 2022, the Adjustable Interest Rate (LIBOR) Act was enacted by Congress to establish and provide a clear and uniform federal solution for transitioning legacy contracts that either lack or contain insufficient contractual provisions to address the end of LIBOR, by providing for the transition from LIBOR to a replacement rate.

Although Fannie Mae and Freddie Mac have yet to formally select a replacement index for their legacy products, they have stated they will continue to follow any applicable regulatory guidance or requirements, particularly from the Federal Reserve Board regarding implementation of the LIBOR Act, in addition to those of the CFPB and FHFA.

Next steps

Cenlar continues to monitor the industry and government agencies SOFR-based replacement index announcements and decisions. While LIBOR doesn’t expire for most products until June 30, 2023, we are diligently working to assure a seamless transition to the new index. Please note that additional costs could apply if you have notified us to use a replacement index other than a SOFR-based index.

Indigenous Peoples’ Day Observance

Cenlar will be closed on Monday, Oct. 10, 2022 in observance of Indigenous Peoples’ Day. Any files received on Monday, Oct. 10 will be processed the night of Tuesday, Oct. 11. Output will be available the morning of Wednesday, Oct. 12.