eOriginal will serve as a key business partner in Ginnie Mae’s implementation of its digital collateral pilot program and ultimate adoption of e-notes as acceptable collateral for Ginnie Mae MBS.
“This announcement underscores Ginnie Mae’s commitment to modernizing its MBS program and platform, as outlined in our Ginnie Mae 2020 white paper, ‘The Road to Modernizing and Enhancing Our Programs,'” says Angel Hernandez, director, MBS policy and program development for Ginnie Mae, in a release. “Creating a digital mortgage ecosystem, from loan application through securitization, increases access to credit for many Americans. It will also enhance the integrity of Ginnie Mae collateral by reducing the risk from defects in loan instruments.
“For these reasons, Ginnie Mae is investing to develop and implement the policies, technology and operational capabilities necessary to take in digital promissory notes and other digitized loan files as acceptable collateral for our securities,” Hernandez adds.
Other major mortgage institutions relying on eOriginal for e-vault services include Quicken Loans, Wells Fargo Home Lending and Fannie Mae.
In addition, over one-half of all eClosing providers approved by both Fannie Mae and Freddie Mac are enabled as solution extensions of eOriginal, and 95% of year to date e-note registrations through the MERS eRegistry were driven by eOriginal customers.
“Ginnie Mae and eOriginal share a common goal of minimizing risk and providing liquidity and stability for the mortgage industry” says Brian Madocks, CEO of eOriginal, in a separate release. “We view Ginnie Mae’s support of e-notes as integral and a key accelerator of digital adoption in the mortgage industry, and eOriginal is committed to providing the most trusted and compliant solution for Ginnie Mae and their partners.”