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81 Truly effective partners are constantly innovating to incorporate new technologies. And they are actively involved in MISMO, which allows them to stay abreast of new data interchange standards, best practices, and innovations. THE IMPORTANCE OF SMART DOCS Perhaps the most critical attribute a digital partner must possess is a deep understanding of the impact of eNotes on all parties, throughout the life of a loan. at includes your trading partners and their trading partners, too. A capable partner will be able to deliver documents in a standard data format, which requires access to a doc engine built entirely on SMART Docs. is is an important point, as many outsourcing providers use PDFs instead of SMART Docs, and PDFs are not nearly as efficient or accurate. Before a borrower can electronically sign a PDF file, for example, someone must manually 'tag' the file to accept the borrower's signature. PDFs can't be read by machines with 100% accuracy, either, which means they are reviewed by humans for errors. ese extra steps are inefficient and introduce opportunities for error. A good partner will provide a complete library of SMART Docs that encompass all types of loan documents. Because SMART Docs can also be rendered in PDF, they allow you to choose XML or PDF for each doc type. ey also allow you to change that mix to meet borrower and trading partner demands. While many providers concentrate on just having the note be a SMART Doc, having access to an entire library of SMART Docs enables truly digital versions of every document so they can be electronically reviewed for due diligence after they are executed. e ideal partner will offer a wide range of mortgage services beyond eClosings. By being able to take on loan application, underwriting, and due diligence services through closing, delivery, custody, and secondary stages, a capable partner can help you better manage staffing levels, especially when there is a rapid increase or decrease in volume. If your partner offers these types of services, they should have digital capabilities imbedded into them. Where to Start Your Search So, where to find capable partners? Two of the best sources are the eMortgage vendor lists that are maintained by Fannie Mae and Freddie Mac. e GSEs have conducted actual tests with the eNote delivery systems. If a vendor is on the list, that means the GSE has worked with them to ensure their technologies were developed to meet the GSEs' requirements. While neither Fannie Mae nor Freddie Mac will endorse any vendor—they encourage companies to conduct their own due diligence when selecting a vendor—the GSEs are a great place to start. Identifying the fintech partner that fits your needs takes time and effort. But, as Mary Poppins would say, "Well begun is half done." Of course, learning how to "begin well" can be confusing. at's why it's best to choose a partner that will educate you on the concepts and possibilities. Let them keep up with the articles and white papers, customize all that information to your needs, and put all the pieces together for you. Once you do, you'll be "well begun" and well on your way to success. Katie Paolangeli is the SVP, Product Management of eMortgage Technology for Evolve Mortgage Services and its subsidiary, SigniaDocuments. A former VP of eCommerce for MERSCORP, Paolangeli has more than 30 years' experience in mortgage technology and has participated in dozens of panels, webinars, presentations, and training sessions on the topic of electronic mortgages. She can be reached at Katie.Paolangeli@ EvolveMortgageServices.com. Perhaps the most important question to ask a prospective partner is how much practical, digital experience they have. Do they have experts on staff who have developed and implemented fintech solutions for companies like yours? Do they understand digital processes and their impacts from the perspective of all life-of-loan participants? And will they educate and train your team and your partners on an ongoing basis?

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