The early payment default solution (EPD) alert uses advanced analytic scoring technology that enables mortgage lenders and investment banks to score and identify each loan’s early payment default risk in real-time during the underwriting process before a new loan is funded, and before it is purchased on the secondary market. EPD alert was developed in response to lender and investment bank demand for more sophisticated, analytics-based solutions to help curtail the growing problem of early mortgage defaults.
Mortgage lenders and investment banks are actively seeking solutions that improve their ability to proactively identify mortgage applications and loans with a high risk of early payment default. They have achieved great success with BasePoint’s fraud solutions and see the opportunity for predictive analytic technology to also successfully reduce early default losses.
The analytic advancements of the BasePoint EPD alert now enable mortgage lenders and investment banks to go beyond traditional credit scores and risk management tools and processes and cost effectively score all mortgage applications and loans to understand early default risk at the individual loan and portfolio levels.
