Borrower Summary - Origination
Use the Borrower Summary form to record basic borrower and loan information.
The Borrower Summary is typically the first form filled out in the loan
process. You can also order services such as credit reports and appraisals.
To shortcut the
entry of address information, type the ZIP code first. The City, State, and County fields will automatically be filled.
Channel and Loan Status
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Select a Channel from the list to indicate how your company is handling the loan: Brokered, Banked-Retail, Banked-Wholesale, or Correspondent.
Select the Correspondent option if you are a correspondent lender purchasing a loan originated by another entity. Do not select the Correspondent option if you are originating a loan that you intend to sell to a correspondent lender.
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The Current Status value is synchronized
with the Action Taken field on the HMDA Information form. You can search
for and run reports based on loan status, including one of six adverse
statuses.
While processing a loan, the option for Current Status should remain Active and the Date should remain blank until the date of actual disposition or the date when a loan is assigned an adverse action. Do not use these fields during your pre-closing workflow when preparing your loan file for closing.
Borrower Information
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Select a Vesting Type for the borrower, and then enter the borrower information, including the
Present Address and Previous Address sections.
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Select a Vesting Type for the co-borrower, and then enter the co-borrower
information. To copy information from the Borrower
section, click Copy From Borrower.
You can edit the copied information as needed.
Refer to Update
Contacts from the Borrower Summary for detailed procedures on linking and synchronizing contact details between the loan file and the Contacts tab.
Or, select the No co-applicant checkbox if there are no co-applicants on the loan. When this checkbox is selected, the Information for Government Monitoring section of the HMDA Information form is automatically updated to indicate that there are no co-applicants on the loan.
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Click Order Fraud to order a fraud review that identifies irregular or suspicious information within the loan file and identifies the loan’s fraud risk.
To sign up for the Fraud service, contact your ICE Mortgage Technology account representative. They will walk you through the process of signing up for the service.
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Use the Preferred Contact Method section to indicate the borrower and co-borrower's preferred method of contact. Select the checkbox(es) as applicable. Click the Preferred Contact (clock) icon to specify the contact's time zone and preferred day and time of day to be contacted.
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If the data is cleared from a field in the Preferred Contact Method section, the associated checkbox remains selected. The Time Zone/Day/Time information remains, as well as any preferred contact times.
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The Best Contact Method, Time Zone, Day, and Time are copied to Piggyback Loans.
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The Accept Text/SMS checkbox is enabled when the Cell Phone number is populated and disabled when the Cell Phone number is not populated.
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In the Company's Information section, indicate whether the lender, broker or another company is providing the Social Security authorization according to the investor guidelines. Type the information or click the Lender/Broker Data button to populate the data according to the logic described below:
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If the Lender (field ID 1264) is populated, the Lender information is copied to the section.
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If the Lender is blank and the Broker Company Name (field ID VEND.X293) has data, the Broker information is copied into the section.
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If both the Lender and Broker Company Name are blank, a Please enter Lender/Broker info pop-up window displays, and you must type the information in this section.
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If both the Lender and Broker Company Name are populated, the Lender information is copied to the section.
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Users can change the data in this section without changing the lender of broker information in the file contacts.
Credit Information
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Complete the fields that track borrower and co-borrower authorization for ordering a credit report.Click Order Credit
to order a credit report, or View Credit
to view the received credit report.
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Click Import
Liabilities to import data from the credit report to the Verification
of Liabilities (VOL) form.
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In the Liability Import pop-up window, select the Import Credit Fee to HUD and GFE checkbox to import the credit report provider and credit report fee to line 805 on the 2015 Itemization input form (fields 624 and 640, respectively).
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Depending on the version of the forms being used for the loan (RESPA-TILA Form Version > RESPA 2010 GFE and HUD-1 or RESPA-TILA Form Version > RESPA-TILA 2015 LE and CD, the credit report provider and report fee are imported to fields 624 and 640 on the following forms: 2010 HUD-1 Page 2, 2010 Itemization, MLDS - CA GFE 882, MLDS – CA GFE 882 – PTC/POC Pop-Up, MLDS – CA GFE 885 P 1- 3, 2015 Itemization, Section 32 HOEPA.
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Record additional borrower and co-borrower credit
information as required.
Verification Information
For loans submitted via Encompass Consumer Connect, indicate whether the borrower and co-borrower have authorized the Verification of Employment form (VOE) and enter the authorization date.
The entries for Verification of Income (VOI) and Verification of Assets (VOA) are populated automatically from the Verification of Income / Verification of Assets data entered in the loan file in Encompass Consumer Connect.
Subject Property Information
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Complete the Subject Property information or click
Copy from Present to copy
the address information from the borrower's Present Address section.
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Click the appropriate buttons to order an appraisal,
flood report, and title report from selected service providers.
Transaction Details
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Click Product and Pricing to search for best fit program and pricing
information using the Product and Pricing service.
- If the Re-Lock Enablement and Auto-Lock settings are in effect and a user attempts to price a loan via EPPS using this button, an error message, "The pricing request violates your administrative settings and cannot be processed." is displayed.
This error message was introduced in the Encompass 19.1 release.
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Click the Address Book icon to select a lender from your business contacts, if not already filled
from your Default Providers list. You can also type a name and then right-click the field
to add a new contact to your business contacts.
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Click the Find icon 
next to the Loan Program
field to select a template that fills the fields on the TIL disclosure with
predefined values.
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Click the Find icon next to the Closing
Cost field to select a template that calculates the closing costs using
predefined rates and values.
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Click the MERS MIN button to automatically assign a MERS MIN number to the loan. To change this number, type the new number in the MERS MIN field.
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Enter basic loan information including purpose,
type, and terms. For more information on construction loans, refer to the topic Process a Construction Loan. For more information on HELOC loans, refer to the topic Process a HELOC Loan.
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Click Sub. Financing
to open a window to record details related to funds from other sources,
such as a second mortgage.
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If working in an FHA loan file, select the Enforce County Loan Limit checkbox to indicate that the loan amount (field 1109) must not exceed the published FHA (Federal Housing Administration) county loan limit. If the checkbox is not selected (or if it is cleared by an authorized user), the loan is permitted to exceed the county limits required by the FHA.
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As the FHA may change their county loan limits multiple times a year, enabling users to clear this checkbox enables them to continue processing the FHA loan file even if the purchase price exceeds the current loan limits.
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Administrators can use the FHA County Limits setting to set the Enforce County Loan Limit checkbox to be selected by default. They can also grant users permission to clear or select this field through the Persona Access to Fields tool.
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Click the Edit icon next to the Income (monthly) field to open a window to add and calculate the borrower's monthly income.
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Click the Edit icon next to the Total Monthly Payment field to open a window to view and edit the expenses included in the total monthly payments.
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Click the Edit icon next to the Proposed Housing Expense field to open a window to view present and proposed housing expenses for the loan.
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Use the Access Lenders
button to pre-qualify the borrower with a selected
lender.
The Rate Lock Disclosure Date field (field 3259) captures the date that the rate lock agreement was prepared. This date is copied to applicable state specific rate lock disclosures. While the Date Prepared field (field 363) captures the date that the loan application was prepared, you can use the Rate Lock Disclosure Date field to indicate the date the rate lock agreement was prepared independent of when the loan application was prepared.
Income, Assets, Liabilities, and Expenses
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Most fields in the Income, Assets, Liabilities, and Expenses section are calculated based on other entries in Encompass.
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The Borrower's Income and Co-Borrower's Income are populated based on the base pay entered in VOEs:
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For URLA 2020 loans, the value includes the total base pay of all current VOEs for the borrower or co-borrower.
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For URLA 2009 loans, the value includes the base pay from the first current VOE for the borrower or co-borrower.
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Click the Edit icon if available to open a pop-up window to calculate the base income.
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Click the Edit icons for the Other Income and Proposed Housing Expenses to open pop-up windows to adjust the amounts.
Affordable Loan Eligibility
Use this section to view factors that help determine whether a loan is a good candidate for an affordable loan program such as USDA, HomeReady® and Home Possible®. Many of the fields in this section are calculated based on other entries in Encompass.
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Click the FFIEC MFI button to be taken to the FFIEC Census and Demographic Data website and manually look up census, income and metropolitan area data for different areas.
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Click the Get AMI button to populate the fields in this section with the Area Median Income (AMI) values for the area where the subject property is located. These values are based on the AMI Limits provided in the Area Median Income (AMI) Limits table in Encompass Settings. This data is provided by Fannie Mae and Freddie Mac.
What is the difference between HUD’s Median Family Income (MFI) and Area Median Income (AMI)?
HUD estimates Median Family Income (MFI) annually for each metropolitan area and non-metropolitan county. The metropolitan area definitions are the same ones HUD uses for Fair Market Rents (except where statute requires a different configuration). HUD calculates Income Limits as a function of the area's Median Family Income (MFI). The basis for HUD’s median family incomes is data from the American Community Survey, table B19113 - MEDIAN FAMILY INCOME IN THE PAST 12 MONTHS.
The term Area Median Income is the term used more generally in the industry. If the term Area Median Income (AMI) is used in an unqualified manor, this reference is synonymous with HUD's MFI. However, if the term AMI is qualified in some way - generally percentages of AMI, or AMI adjusted for family size, then this is a reference to HUD's income limits, which are calculated as percentages of median incomes and include adjustments for families of different sizes. (Source: HUD (hud.gov))
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Select the Eligible checkbox to indicate the loan is eligible for an affordable loan program based on FFIEC data and total household income amounts.
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Total Annual income for the household (read-only) calculates the total of household annual income reported in lines 1-6 on the Rural Assistance URLA input form on the USDA management tool.
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Total Adjusted income for the household (read-only) is calculated by subtracting the Total Household Deduction from the Total Household Annual Income (line 7 minus line 13) on the Rural Assistance URLA input form on the USDA Management tool.
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Select the Rural Housing checkbox if the subject property is located in a rural and/or underserved area as designated by the CFPB.
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The First-Time Homebuyer field indicates if the borrower has or has not had any form of ownership in any home in the last 3 years. Authorized users can click the blue Lock icon to override the calculated value with a manual entry.
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The Purchase Price Limit is determined by the investor providing the affordable loan program. Enter the value in this field.
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The editable County field is populated with the county where the subject property is located (based on the subject property ZIP code (field ID 15)).
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The FIPS Code is automatically populated with the FIPS (Federal Information Processing System) unique numeric code consisting of the 2-digit state code (field ID 1395) and the 3-digit County Code (field ID 1396).
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AMI 100% is an editable field that can also be populated by clicking the Get AMI button. This field indicates the household income that is 100% of AMI for the county in which the subject property is located. Typically, the income of qualified applicants for affordable housing cannot exceed 100% of AMI.
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AMI 80% is an editable field that can also be populated by clicking the Get AMI button. This field indicates the household income that is 80% of AMI in the county in which the subject property is located.
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AMI 50% is an editable field that can also be populated by clicking the Get AMI button. This field indicates the household income that is 50% of AMI in the county in which the subject property is located.
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The AMI % is an editable field to manually enter the AMI percentage to use for eligibility.
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The AMI [Limit] (field ID 4986) is a read-only field that calculates the AMI limit to qualify for the affordable loan program (based on the AMI percentage (field ID 4985) and AMI 100% limit MORNET.X30). Both of these fields must be populated in order for the AMI [Limit] field to calculate.
Registration
This section contains current registration information. You can add a new registration, however you cannot change the current registration.
Loans can also be registered from the Secondary Registration tool.
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Click Add Registration.
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Set the Registered On and Registration Expires dates as required.
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Type an Investor Name, or right-click to select an investor from your business contacts.
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Type a Reference Number, such as the commitment number.
Brokers working with wholesale lenders can track specific loans by entering the wholesale lender loan number in the Reference Number field, adding the field to the Encompass Reporting Database, and then including the field in a custom view or report. For detailed information, see the Quick Reference Guide for Broker Tracking of Wholesale Lender Loan Numbers.
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Click OK.
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An entry is added to the log and the registration information is applied to the Registration tab on the Secondary Registration tool.
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An alert will display when the registration expires or expiration is pending (depending on your system settings).
Referral Source
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Type the name of the referral source.
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Or, click the Address Book icon or right-click the field to open and select from your business contacts.
See Also:
Ordering
products and services
Learn more about Qualifying Rates