Secondary Registration

View the "Managing Lock Requests" Quick Reference Guide

The Secondary Registration tool is used to receive rate lock requests and rate lock extension requests, enter investor details and pricing information, and lock the loan rate. For an overview of the lock request and secondary marketing workflow, refer to the topic, Lock Request Management.

The Secondary Registration tool supports many additional options for registering and locking a loan, such as registering without locking a loan, initiating a new lock, and denying a lock request. Refer to the topic, Additional Rate Lock Options for details.

The Secondary Registration Window

Lock / Request Snapshot

The Lock / Request Snapshot section lists the lock requests associated with the loan.

Icon - Visual indicator of the request's status.
In Encompass 21.3 and later, the red lock icon will not be displayed when the Sell Side lock is expired (field ID 2222).
Status - Status of the request: Requested (the most recent request), Old Request, Locked, Locked New Lock Requested, and Old Lock.
Request Type - Type of lock request: Lock or Extension.
Days - Number of days the lock is in effect.
Lock Expiration Date - Date the lock expires.
Request On - Date the request was submitted.
Requested By - Originator of the lock request.
Fulfilled On- Date the request was locked, confirmed or denied.
Fulfilled By- User who confirmed the locked.
Investor - Name of the investor providing the rate lock.
Investor Delivery - Date when the loan is expected to be delivered to the investor.
In Encompass 21.3 and later, when the Sell Side lock is expired, a warning icon and the date in red will be displayed when the investor delivery date (field ID 2297) has passed.

When the most recent confirmed snapshot is selected, the Update Sell/Comparisonbutton is now be enabled for certain statuses. The eligible statuses are:

Locked
Expired Lock
Denied Lock (if the snapshot was previously confirmed and not previously pending)

Pending Lock Requests

In Encompass 21.3, changes were made for pending lock requests.

The Update Sell/Comparison button is no longer available.
A Save Progress button is displayed.
Once the Save Progress button is selected, the existing Lock Request log will be updated but a new snapshot will not be created.

Start a new lock

Click the New Lock button.
- If there is a currently active lock in place for the loan, the Secondary Lock Tool opens with the current lock information populated in the Buy Side Lock Request column.
- If there is no currently active lock in place for the loan, the Secondary Lock Tool opens with no data populated in the Buy Side Lock Request column.
- If the loan is assigned to a correspondent trade, the loan must be removed from the correspondent trade before the lock can be created.
- If EPPS is the product and pricing engine used for the loan and auto lock and confirm a lock request is enabled in your Encompass Settings, the lock is automatically locked and confirmed.
Complete Steps 2-12 from the Working with a Lock Request procedure below.

Extend an existing lock

Click the Extend Lock button.
On the Extension Request window, enter the Days to Extend, Price Adjustment, and Comments as needed, and then click the Request Extension button.
- If an extension is requested after the maximum number of extension days has been reached, an error message is displayed and the extension cannot be completed.
- If you change the Days to Extend, and the maximum number of extension days has been reached, an error message is displayed and the extension cannot be completed.
- The Get Buy Side Pricing and Get Sell Side Pricing buttons are available on the Secondary Lock Tool.
The Get Buy Side Pricing button will only be available if the Encompass Product and Pricing Service (EPPS) is enabled and will perform a historical pricing request.
- The price adjustment is added as an entry in the Adj. Buy Price section on the Secondary Lock Tool.
- The Days to Extend, New Lock Expiration Date, and Price Adjustment are added to the Buy Side Request and Buy Side Lock and Pricing columns of the Secondary Lock Tool.
- If EPPS is the product and pricing engine used for the loan and Enable Auto Lock and Confirm upon Extension request is enabled in your Encompass Settings, the lock is automatically locked and confirmed.
- In Encompass 24.1 and later, if the Zero Based Par Pricing setting is enabled for the applicable channel, each lock extension fee will be multiplied by -1.
- A lock request entry is added to the loan log.
Trade Extension Request Type
When a loan is extended from a trade, and that trade is processed, a “Trade Extension” Request Type is created in the snapshot. The data in the snapshot is populated as follows:
This request type was introduced in Encompass 18.2.
- Original Expiration Date - Buy Side Lock Request field ID 2091 and Buy Side Lock and Pricing field ID 3358 is the previous lock expiration date.
- Current Expiration Date - Buy Side Lock Request field ID 3369 and Buy Side Lock and Pricing field ID 2151 is the current lock expiration date.
- Days to Extend – Buy Side Lock Request field ID 3360 and Buy Side Lock and Pricing field ID 3363.
- New Lock Expiration Date - Buy Side Lock Request field ID 3361 and Buy Side Lock and Pricing field ID 3364 is the calculated expiration date based on the Days to Extend.
- The calculation takes into account any relevant settings set on the Lock Desk Setup setting (e.g., Expiration Settings, Calendar, etc.).
- Price Adjustment - Buy Side Lock Request field ID 3362 and Buy Side Lock and Pricing field ID 3365.
- Lock Extensions – An extension description and Days to Extend value in the appropriate extension field and the Price Adjustment value.
- Re-Lock Fees – A re-lock description in the appropriate re-lock field and the Re-Lock Fees – A re-lock description in the appropriate re-lock field and the Re-Lock Fee (price) value.
- Price Adjustments – The Custom Price Description in the appropriate CPA field and the Custom Price Adjustment value.
While in the snapshot, the following actions can be taken without having additional extensions, re-lock fees, or custom price adjustments recorded.
- Revise Lock
- Validate Lock (if the initial pricing was done in EPPS and the correspondent trade has an individual Delivery Type.)
If changes are made to the correspondent trade that impacts the loan (e.g., Commitment #, Commitment Date, Master Commitment #, Delivery Type, etc.), a new snapshot is created and the previous extension fee, re-lock fee, and/or custom price adjustment is cleared.
Non-product related price adjustments will not be cleared for individual correspondent trades.
- The request is sent to the lock desk.
- The lock request icon shows on the Pipeline.
When a lock is extended and then re-locked, a different icon displays on the Pipeline to distinguish between a pending new lock request on extended loans and a pending lock extension request.

If a lock extension expires on a Saturday, Sunday, or holiday, the expiration date is automatically adjusted to the next business day as determined on the Company Calendar in the Compliance Calendar setting under Loan Setup in the Encompass settings.

Validate a lock

Secondary and lock desk users can validate a lock against eligibility and pricing as of the effective (lock) date and time (historical pricing).

The Encompass Product and Pricing Service (EPPS) must have been used to lock the loan.
The loan must be locked and confirmed.
The most recently confirmed loan snapshot is used.
LO compensation must be managed in Encompass (and not in EPPS).

Click the Validate button.
On the Encompass Product and Pricing Service Login screen, enter your Login Name and Password, and then click Continue
- The only two tabs available in EPPS is the Qualify tab and the Summary tab.
- At the top of each tab, "Currently showing historical prices!" is displayed to differentiate between a historical pricing request and a current pricing (or future pricing) request.
On the Qualify tab, the selected loan program and line of pricing (based on the lock date) is indicated by a lock icon.
- If the loan program is still eligible, it appears in the eligible section.
- If the loan program is no longer eligible, it appears in the ineligible section.
If the loan program is still eligible, select a rate or select a new loan program and then click on the rate.
On the Summary tab, review the information, if needed, and then click Submit.

The original lock date and expiration date remain unchanged.
Encompass is updated with the selected pricing data.
On the Secondary Lock Tool, all columns, except the Buy Side Lock Request column, can be edited.
Make any changes, and then click Lock and Confirm.

If the Enable Auto Lock and Confirm upon lock request Admin setting is enabled, the historical pricing request will be automatically locked and confirmed.
A new loan snapshot is created.
- The data in the SRP Paid Out field, Investor Commitment # field, and Comments text box are retained from the previous lock snapshot.
If new comments are populated from EPPS, they are appended to the existing comments in the Buy Side Lock and Pricing column.

Request a re-lock

When a re-lock is requested, the Secondary Registration/Snapshot List and Secondary Lock Tool displays the same values from the last current lock. For example, if the last current lock was extended, the Secondary Registration/Snapshot List display the fields for the extended lock.
The Request Type field displays Re-Lock when the request is fulfilled.
The Get Buy Side Pricing and Get Sell Side Pricing buttons are enabled.

The Get Buy Side Pricing button is only enabled if EPPS is the selected product and pricing service and the original loan was priced using EPPS.The Get Sell Side Pricing button is always enabled for a re-lock request

If Get Buy Side Pricing is selected, the pricing request is run based on the effective (lock) date and time.
If Get Sell Side Pricing is selected, the pricing request is run based on the current date and time.
In Encompass 24.1 and later, if the Zero Based Par Pricing setting is enabled for the applicable channel, each re-lock fee will be multiplied by -1.

Cancel a lock

Click the Cancel Lock button on the Secondary Registration tool.

If the loan is assigned to a correspondent trade, the loan must be removed from the correspondent trade before the lock can be canceled.
If EPPS was the product and pricing engine used to lock the loan and auto cancel a lock is enabled in your Encompass Settings, the lock is automatically canceled.

On the Cancellation window, enter a comment as needed, and then click the Cancel Lock button.

A lock cancellation entry is added to the loan log.
The lock canceled icon shows on the Pipeline.

Void a lock

This setting was added in the Encompass 21.1 April Service Pack. As part of the 23.2 release, the ability to void locks in the Retail and/or Wholesale channel has been added (if enabled by your system administrator).

Click the Void Lock button on the Secondary Registration tool.

A confirmed snapshot that has not expired must be available or there are no pending lock update, relock, cancellation, or extension requests for the Void Lock button to be enabled.

All fields, except Comments, will be automatically populated.
Enter any comments if applicable, and then click Void Lock.
The loan will be rolled back to its previous state.

A new read-only snapshot will be added to the Secondary Registration/Snapshot List that is identical to the previously confirmed snapshot.
The loan is returned to its previous state (e.g., if there is no previously confirmed snapshot, the loan is returned to a “Not Locked” state).
The lock status is set to “Voided” (or “Old Void” if there is a previously voided lock).
An entry will be added to Alerts & Messages, “Lock voided by [logged in user].”
When a voided snapshot is opened in the Secondary Lock Tool, all the fields will be disabled and any comments entered on the Void pop up window is displayed in the Buy Side Lock Request Comments field.

Current Lock Tab

The Current Lock tab displays details related to the rate lock with the status of Locked.

Click the View Current Lock button to view complete details.
If applicable, select the Hedging checkbox to indicate that the loan is included in a hedge (i.e., you are hedging the loan, or group of loans, to offset the risk of loss from price fluctuations in the market).
This checkbox is to indicate that the loan is included in a hedge only. Selecting or not selecting this checkbox does not affect how the loan is locked or priced.
If the lock was also confirmed, the Lock Fulfilled field is populated with the time and date that the loan was locked and confirmed.
If the Investor Status in the Sell Side Lock and Pricing column is Assigned - Bulk, the loan is assigned to a trade. Click View Trade Summary to view trade information.

Current Loan Info Tab

Registration Tab

The Registration tab is used to document that a loan has been registered with an investor and to display current registration information. Registering a loan does not change the status of a lock request.

You can also register a loan with an investor from the Borrower Summary form without submitting a lock request.

On the Lock Request / Snapshot list, click the Registration tab.
Click Add Registration.
Set the Registered On and Registration Expires dates.
Type an Investor Name, or click the Address Book icon to select an investor from your business contacts.
Type a Reference Number, such as the commitment number.
Click OK.

An entry is added to the log and the registration information is applied to the Registration section on the Borrower Summary form.
An alert will display when the registration expires or expiration is pending (depending on your system settings).

Request Product and Pricing Information

When you open an unlocked lock request (or create a new lock), you can request and import product and pricing information.

Before you can submit a request, you must set up an account with a product and pricing provider.

On the Lock Request/Snapshot list, select an unlocked request, or click New Lock to create a new lock.
On the Secondary Lock tool, select how you want to view the information.

Summary - A subset of the available fields on the Secondary Lock tool. You can use this view to compare what the pricing is on the day a loan is locked and compare that to the price received when a loan is allocated to a trade at a later date and focus on the Gain/Loss numbers.
Detailed - All the available fields on the Secondary Lock tool.

Click the Get Buy Side Pricing or Get Sell Side Pricing button.

The pricing buttons are not available on the Secondary Lock tool for a lock extension request.

On the Product and Pricing Request window, enter your Login Name and Password, and then click Continue.
Verify the loan information, provide any additional information required by the pricing provider, and then follow the provider's directions to search for products that match the loan criteria.
Select a rate, and then click the button to update the data in the loan file.

Working with a Lock Request

When you open a loan with a lock request or lock extension request from the Pipeline, the Secondary Registration tool opens.

On the Lock Request / Snapshot list, select the entry with the status of Requested.
- The Secondary Lock tool opens. The left column shows details of the lock request.
Above the Buy Side Lock and Pricing column, click the Copy from Request button.
- The values from the Buy Side Lock Request column are copied to the Buy Side Lock and Pricing column.
- The Buy Side Lock and Pricing column will reflect the Buy price after due diligence by the lock desk.
- In Encompass 24.1 and later, when zero based par pricing is enabled, the par pricing text in the Buy Side Lock and Pricing (and Buy Side Lock Request) column changes from “(Par Pricing is 100.00)” to “(Par Pricing is 0.00)”.
In the Buy Side Lock and Pricing column, change values in the request details as required. This is typically done to correct any errors or oversights in the request. Refer to the topic, Lock Request Form for field-specific information.

Working with a lock extension

If you are working with an extension, you can adjust the Days to Extend, New Lock Expiration Date, and Price Adjustment fields in the Buy Side Lock and Pricing and Sell Side Lock and Pricing columns without having to create a new lock extension request.
If an extension is requested after the maximum number of extension days has been reached, an error message is displayed and the extension cannot be completed.
If you change the Days to Extend, and the maximum number of extension days has been reached, an error message is displayed and the extension cannot be completed.
If EPPS is the product and pricing engine used for the loan and auto lock and confirm an extension request is enabled in your Encompass Settings, the lock is automatically locked and confirmed.
The Execution Comparison column displays the same fields as the top section of the Sell Side Lock and Pricing column.
Changing one of these fields will cause the other fields to recalculate.
If you adjust the Days to Extend or New Lock Expiration Date and the number of days in the extension does not match a preconfigured adjustment (set in the Product and Pricing setting) the Price Adjustment field will clear to allow manual entry.
Each requested extension is recorded in the Lock Extensions section.

In the Profitability section, type descriptions or select options from the dropdown list, and then enter amounts as needed.
- If the lock request is automatically locked, the profitability data from EPPS is transferred to the Buy Side Lock Request column.
Enter Corporate Price or Branch Price Concessions.

These fields and the pop up window can be edited when a lock is revised.
- Click the + (Plus) icon to display all the corporate and/or branch price concession fields and enter the data.

Click the + (Plus) icon to display all the corporate and/or branch price concession fields, click the Edit icon next a field, and complete the Price Concession pop up window.
The behavior of the pop up window has not changed. The value entered in the pop up window will populate the corresponding field in the Buy Side Lock and Pricing column. In addition, additional information can be captured, including the approval date, the user who approved it, and any relevant comments.

Type the Investor Commitment # and add comments as necessary.
Above the Sell Side Lock and Pricing column, click Copy from Buy Side button.
- The values from the Buy Side Lock and Pricing column are copied to the Sell Side Lock and Pricing column.
- In Encompass 22.2 and later, when the Investor (field ID 4751) field in the Buy Side Lock and Pricing column is blank, and the Copy from Buy Side button is selected, the Investor (field ID 2278) field in the Sell Side Lock and Pricing column will no longer be cleared.
- In Encompass 24.1 and later:
- The Gain Loss % (field ID 2296) calculations will be based on whether zero based par pricing is enabled or not.

Since Gain Loss $ (field ID 2028) is dependent on the Gain Loss %, the Gain Loss $ value will change based on the Gain Loss %.

When zero based par pricing is enabled, the calculation will be Total Sell Price (field ID 2295) + Total Buy Price (field ID 2218) - 100 = Gain Loss %.
When zero based par pricing is disabled, the calculation will be Total Sell Price (field ID 2295) - Total Buy Price (field ID 2218) = Gain Loss %.
Regardless of whether zero based par pricing is enabled, the par pricing text in the Sell Side Lock and Pricing column will display “(Par pricing is 100.00)”.
The most current sell side pricing data from EPPS will be transferred from Encompass when the Update Encompass button in EPPS is clicked.