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46 Cover Story By: Phil Britt FINDING THE RIGHT FIT A panel of experts explores the state of subservicing as we approach 2023: how to find the right subservicing partner, how the industry landscape is changing, and what critical considerations need to be top of mind. In a recent Five Star webinar on the state of subservicing heading into 2023, Donny Atkins, Jr., Director of Servicing for e Mon- ey Store; Chris Sabbe, SVP of Sales for PHH Mortgage; and Seth Sprague, Director of Consulting Services for Richey May, discussed the challenges of managing a subservicer relationship, recent industry changes, what to look for in fees, and the pitfalls involved in transfer- ring loans. With the mortgage industry contracting and questions still standing over how the likely impending recession will impact delin- quencies, foreclosures, and other servicing-facing issues, here's what Five Star's panel of experts had to say. All of the panelists said they were generally satisfied with their subservicer partnerships. Atkins noted that, when it comes to ensuring that a lender is satisfied with a subservicer, the first step is for that entity to have a clear and full understanding of its own business. Part of this, Atkins noted, involves working to make sure you don't become a victim of the "sales cycle." "A lot of people are going to say the right things and help you form an opinion of your business. My organization had to go through this process a little over a year ago, and the first thing I did was call industry experts and say: 'is is what I think my book looks like. ese are what I think my needs are.' Have a good partner to help begin your search." Atkins advised that lenders conduct their own research before seeking a subservicer. is means examining your organization's customer service levels, technological capabilities, etc., as well as how those aspects of business can best be leveraged. en you can seek out a subservicer that under- stands and meshes well with your needs, rather than simply touting their own capabilities. Atkins noted that e Money Store had entered a subservicing relationship with PHH Mortgage about a year ago, and he broke down some of the qualities that had convinced them that it was the right partnership for both entities. "One of the differentiators was [PHH] spent as much time with us talking about our pain points and understanding why we needed to make a change and coming up with what I felt like was a customized plan to address those pain points." When it comes to having these conversations and doing this due diligence, Atkins noted that it's easy to get what seems like good answers to the questions being asked, but to build the best foundation for success, those claims and promises need to be backed up by clear data showcasing why a given partnership will truly benefit all involved.