HelocProtect™

NAX’s HelocProtect™ Report contains the same standard information as a Property Report: ownership vesting, open mortgages, liens, full-recordable legal description but also is covered by an enhanced E&O coverage. This coverage is up to $500K per report and can be priced by tiers.

• FICO score of 600 or higher.
• CLTV cannot exceed 100%(unless approved by the insurance company).
• Offers complete protection against borrower fraud, identify theft, errors and omissions in recording the security instrument and undisclosed liens.

HelocProtect™ vs Uninsured Property Search

Uninsured Property Search

• Lender’s staff responsible for clearing all un-discharged liens.
• Only insured for errors and omissions and may only carry $1000-$15,000 worth of coverage.
• Lender can wait 2-3 days for delivery of report.
• Multiple vendors supplying these reports making billing reconciliation more difficult and time consuming.

HelocProtect™

• HelocProtect™ Property Reports typically delivered within 24-48 hours.
• HelocProtect™ covers lenders up to $500,000 per report against borrower fraud, identify theft, errors and omissions in recording the security instrument and undisclosed liens.
• All property reports performed by vendor on a national basis, improving efficiency and costs.
• Insurance only applies to closed loans.

E&O Insurance Coverage information

• Coverage provided by insurance company with an AM Best rating of A Excellent.
• E&O Policy offering coverage from time of loan application through recordation – there are no “gaps” in the coverage.
• Up to $500,0000 per mortgage agreement with no aggregate limit of liability.
• Coverage follows the mortgage agreement and can be assigned to investors.
• Federal Home Loan Bank accepts policy by way of assignment.
• Term can be up to 30 years (cost varies).
• Covers 1-4 family residential properties, condos, and investment properties.
• No borrower affidavit required.
• Foreclosure is not required for claim submission.

Endorsements:

• Master Policy coverage terms and policy limits—monthly loan closing data appended to master policy.
• Cost impacted by length of term (up to 30 years), loan amount coverage ($100K-$500K), modification to FICO and depth of report.

HelocProtect™ Services Overview

• Services performed under an annual, renewable term.
• Electronic ordering and delivery
• Dedicated email or Web portal entry
• Integration capabilities with Lender LOS
• Electronic Data or XML for integration into document Prep programs
• One-point of contact for report, recording and resolutions.
• Blended national average rate range of $150to $195 including document –Property report, E&O insurance and recording
• Excludes recording fees, taxes or special processing
• Property Report Fees are billed for orders regardless of whether loan closes (average rate range of $50 to $75).