As part of its vision to reimagine servicing through innovative solutions, Freddie Mac has created Resolve, an integrated default management platform that delivers rules-based workout decisions in real-time, as well as supplemental data and insights to mortgage servicers.
In creating Resolve, Freddie Mac partnered with clients to reimagine traditional loss mitigation and developed a new technology experience that expedites mortgage assistance for homeowners. Clients working with Freddie Mac requested a flexible workflow and transparency for workout requests.
As a result, Resolve offers two ways to connect: a user interface and B2B integration via APIs. Clients have the option to use one path or both, depending on what works best for their business model.
“The Reimagine Servicing initiative is an example of our commitment to designing solutions around client insights,” said Cecelia Raine, vice president of Servicing Strategy and Integration. “Resolve is a direct reflection of this commitment. Our goal is to be the investor of choice through innovative solutions and our partnership approach.”
Resolve makes decisions, calculates values and provides loan terms that are derived from guiding policies that servicers adhere to. These rules adapt to new or updated requirements and regulations. This relieves servicers of in-house development and allows them to focus their time on working with the homeowner or handling more complicated cases.
Resolve’s APIs return workout decisions in three to five seconds. With decisions and data at their fingertips, servicers’ interactions with homeowners are more impactful than ever. Servicers can provide clarity and more certainty on decisions, improving the Freddie Mac loan experience for their staff and homeowners.
“Servicers who are using Resolve APIs today are seeing up to 15 minutes saved per case, and when added up for all workouts, that’s amazing efficiency,” said Kate Mossop, vice president, Servicing Product and Offerings.
Resolve can also trigger a servicer’s workflow, such as solicitation offers and steps to close. Additionally, because Resolve can connect directly to a servicer’s loss mitigation platform (proprietary or third-party), case management can be completed on a single platform.
Because Resolve integrates with various Freddie Mac data sources, the platform requires a significantly reduced dataset, eliminating the need for manual data entry. Resolve only requires a servicer to provide five loan data points to create a loss mitigation case.
Resolve also addresses servicers’ need for transparency. With each decision request, Resolve APIs return dynamic and descriptive messaging to inform servicers of exactly why a loan was eligible, ineligible or failed validation. Servicers can view the status of submissions in an intuitive and clear interface along with any additional actions they need to take.
Resolve is adaptable, designed for single or bulk loan submissions for both user interface and B2B connectivity. This flexibility helps servicers absorb and scale for increased default volumes due to economic cycles. And when servicers needed a streamlined way to submit forbearance extension requests, Freddie Mac implemented a simple submission method in the platform.
“With the COVID-19 volume coming through, this has really been instrumental for us,” said API adopter Glenn Meadows, SVP of Mortgage Servicing at Fifth Third. Glenn adds, “For me it comes down to one word, efficiency… we can make decisions with a higher degree of accuracy.”
Cecelia Raine, Vice President, Servicing Strategy and Integration
Cecelia Raine leads the strategy to modernize several technology platforms and to transform the client experience under the Reimagine Servicing initiative.
Kate Mossop, Vice President, Servicing Product and Offerings
Kate Mossop is responsible for delivering strategic servicing products in Freddie Mac’s Single-Family division and for guiding the organization’s servicing product vision and roadmap.