New fields have been added to the Affordable Loan Eligibility section of the Borrower Summary - Origination, Fannie Mae Additional Data, and Freddie Mac Additional Data input forms to better enable Encompass users to view factors that provide insight on whether a loan is a good candidate for an affordable loan program such as USDA. All of these new fields are populated based on the FFIEC MFI database table that is used when the user clicks the Get MFI button. Or, if the Automated Data Completion option for MFI is enabled for your Encompass instance, this information is populated automatically based on the Subject Property ZIP Code (15) entered for the loan. (Refer to the Automated Data Completion for MFI Setting entry for more information.)

• MSA Name (5017) - This MSA name of the region based on the Subject Property ZIP Code (15).

• Actual MFI Year (5018) - Read-only field that indicates the actual year that is used for MFI data. This year is usually a few years behind the current year. (Typically, new MFI data is provided by FFIEC every four years.)

• Estimated MFI Year (5019) - Read-only field that indicates the estimated year used for MFI data. This is typically the current year.

• Actual MFI 100% (5020) - The total MFI for every area in the Actual MFI Year (5018).

• Estimated MFI 100% (5021) - The total MFI for every area in the Estimated MFI Year (5019).

Note also that the FFIEC MFI button previously provided in this section has been renamed to Get MFI.

The AMI (Area Median Income) percentage field (4985) is now included in the loan program loan templates. When a loan program template with the AMI percentage defined is applied to a loan, the AMI percentage field (4985) in the Affordable Loan Eligibility section of the Borrower Summary - Origination and other forms within the loan will be populated with that value. In addition, field 4986 which calculates the AMI limit to qualify for the affordable loan program based on the AMI percentage (4985) value will then also be populated. This enables the administrator to have the AMI factored in at the time of selecting a particular loan program upfront.

In the Encompass Settings, a new Affordable Lending setting has been added to the Tables and Fees category. This setting provides lenders with the most recent Median Family Income (MFI) data for specific geographic areas. Lenders can use these MFI limits to determine median income eligibility for affordable housing programs. Affordable loan programs like these set maximum incomes for program eligibility.

The last three years of MFI data provided by the FFIEC (Federal Financial Institutions Examination Council) are available to download here.

In previous versions of Encompass, this setting was called Area Median Income (AMI) Limits and it contained only the AMI Limits tool that provides the most recent AMI limits for specific geographic areas which lenders could download to determine income eligibility for affordable housing programs such as USDA, HomeReady® and Home Possible®. Now this data is provided on the new AMI Limits tab, while the MFI data is provided on the MFI Limits tab in this new Affordable Lending setting.

In the Encompass Admin Tools > Settings Manager, a new Median Family Income (MFI) option has been added to the Automated Data Completion category. Administrators can use this option to enable Encompass to retrieve MFI data systematically and automatically populate/complete data within the Affordable Loan Eligibility section of the Borrower Summary - Origination input form, and on the Fannie Mae Additional Data and Freddie Mac Additional Data input forms. When this option is enabled, the affordable loan data is automatically populated based on the Subject Property ZIP Code (15) entered for the loan without users having to open the form, and then manually click the Get MFI button. (Data will also be populated if only the Subject Property State (14) or County (13) are entered, though the ZIP Code provides the most accurate MFI results.)

By default, the Median Family Income (MFI) option is set to Disabled.

(Updated on 8/9/2024)

A new read-only HELOC Qualifying Payment loan-level field (5025) is now provided on the HELOC Management input form. The value populated to this field is based on the loan amount (1109) and the selections made in the HELOC Qualifying Payment section of the form.

As part of this update, fields 1724 (used for the proposed monthly first mortgage payment) and 1725 (used for the proposed monthly second mortgage payment) have been removed from the HELOC Qualifying Payment section. Those fields (which are still provided on the Transmittal Summary and other input forms) are calculated based on the monthly first mortgage payment (120) and other monthly mortgage payments (121) and not the HELOC Qualifying Payment Basis. Even though fields 1724 and 1725 have logic to calculate the HELOC Qualifying Payment, there was no standalone field to reflect the calculated qualifying payment based on the Qualifying Payment Basis data. Fields 1724 and 1725 were also not including investment and second home HELOCs.

The new HELOC Qualifying Payment field (5025) will use the existing calculation logic for HELOC qualifying payment basis, but now the actual qualifying payment is shown here. This field will be used for all HELOC loans only, regardless of lien position. This gives users an easy way to refer to the HELOC qualifying payment for HELOCs only. Please note, when processing a HELOC loan, the Qualifying Rate field (1014) should not be used. For the HELOC Qualifying Payment field to calculate as expected, the Qualifying Rate field (1014) must be empty.

In addition, the positive and negative cash flow fields (462, 1169) were previously using the HELOC Initial Payment for their calculation instead of the HELOC Qualifying Payment. These cash flow fields have been updated to now use the HELOC Qualifying Payment. The borrower’s gross rental income (106) and the expected net monthly rental income (URLA.X81) calculations have also been updated to use the HELOC Qualifying Payment.

Migration Notes:

There is no migration of data from existing loans to field 1725 in Encompass 24.2. For existing loans, the new field 5025 will be empty in Encompass 24.2 until a user changes a dependent field in the HELOC Qualifying Payment Basis section of the form.

For non-active (i.e., the Action Taken field (1393) is not empty) HELOC loans, investment loans, and loans for second homes where the qualification rate (1014) is not provided, the positive and negative cash flow fields (462, 1169), borrower's gross income from rental properties field (106), and the expected net monthly rental income for the loan field (URLA.X81) are locked to retain their current values (i.e., the fields are not updated based on system calculations).

In previous versions of Encompass when processing a loan for a HELOC in 2nd position for a primary home, the payment for the 1st lien VOL (Verification of Liabilities) was not populating to field 1724 (first monthly mortgage P& I payment) on the Transmittal Summary. This resulted in the DTI (debt to income) being understated since it did not include this payment. In addition, for HELOCs in 3rd position for a primary home, the payment for the 1st lien VOL was not populating to field 1725 (proposed monthly second mortgage payment). This too resulted in incorrect DTI.

In Encompass 24.2, the payment for the 1st lien from the VOL is now included in field 1724 2nd lien HELOC loans and 1725 for 3rd lien HELOC loans.

Migration Notes:

For existing non-active (1393) HELOC loans (1172), if users had manually entered data for fields 1724 and 1725, these fields will be locked to retain the values and preserve data integrity. If Fields 1724 and 1724 for existing non-active (1393) HELOC loans (1172) are not locked, they will be locked to retain user input values.

When processing a VA refinance loan, Encompass was utilizing the HELOC high credit limit (CASASRN.X168) to calculate the CLTV (combined loan-to-value) instead of the initial draw or balance of the HELOC (CASASRN.X167) that is used by Freddie Mac's Loan Prospector (LP) and Fannie Mae's Desktop Underwriter (DU) to calculate the CLTV. To address the variance in the CLTV between Encompass and LP/DU for VA refinance loans, Encompass now uses CASASRN.X167 to calculate the CLTV for VA refinance loans.

This update applies only to the Freddie Mac and Fannie Mae CLTV fields:

• Freddie Mac Additional Data input form's CLTV (CASASRN.X218)
• Freddie Mac tab on ULDD/PDD input form's CLTV / TLTV (ULDD.FRD.CASASRN.X218)
• Fannie Mae Additional Data input form's CLTV (MORNET.X76)
• Fannie Mae tab on ULDD/PDD input form's CLTV (ULDD.FNM.MORNET.X76)

An issue occurred where the HELOC Initial Payment (5) was calculated incorrectly when the Collect Interim Interest (4665) checkbox was selected to indicate that interim interest (if any) will be collected at Closing. The cause of this issue (which was related to date and other associated fields that were empty being calculated as a blank value instead of a 0 value) was identified and corrected. The HELOC Initial Payment field now calculates correctly and reflects the monthly P & I payment (less the interim interest) when field 4665 is selected.

(Updated on 8/13/2024)

A new checkbox field (5026) for Minnesota (MN) Statutes 47.59.12 is now available on the Important Terms and Agreement Language tab on the HELOC Management input form. Use this field to indicate that the loan is not subject to these MN statutes. When this checkbox is selected, the following language will be omitted from the Home Equity Line of Credit Agreement printed output form:

If this box is checked, you have been assessed finance charges, or points, which are not included in the annual percentage rate. These charges may be refunded, in whole or in part, if you do not use your line of credit or if you repay your line of credit early. These charges increase the cost of your credit.

This field always displays on this input form. It is not dependent on the Subject Property State (14) being Minnesota.

Please note, by design this language will also be omitted from the Home Equity Line of Credit Agreement printed output form if the Mortgage Lien Type (420) = First Lien AND the Loan Amount (2) is greater than $100,000. Please refer to KA 000035999 for additional details.

Users managing the data on the 2015 Itemization input form can now select from a predefined list of fee descriptions for line 704. This list is determined by the fees configured in the Encompass Settings > Tables and Fees > Itemization Fee Management settings.

Administrators can use the Itemization Fee Management setting to create a list of predefined closing costs that users can select when completing the 2015 Itemization form (when using the 2015 RESPA-TILA forms) or the 2010 Itemization and 2010 HUD-1 forms (when using the 2010 RESPA forms). These fields can then be mapped to the appropriate fee fields in the Encompass Compliance Service. Users can then order a compliance report without requiring an administrator to map manually entered closing fees as they are added to the system. In Encompass 24.2, a new Section 700 column is now provided on the Fee List tab. Use this column to map fees to the real estate fields on line 704 of the Itemization or 2010 HUD-1 input forms. By default, none of the checkboxes in the Section 700 column are selected. Select the checkbox for the fees to provide on the line 704 dropdown list that users can then select from on the input form.

In addition, a Section 700 option has been added to the Persona Overwrite tab. You can use the options on the Persona Overwrite tab to give permission (based on persona) to users to manually enter their own fee descriptions or overwrite existing fee descriptions in these fields. (Note that the Persona Overwrite tab is accessible only to administrators who log into Encompass using the admin user ID.)

A field lock icon has been added to field URLA.X145 on Line E. Credit Cards and Other Debts Paid Off on the 1003 URLA Lender input form and 2015 Itemization input form. Prior to Encompass 22.3, this field on the 2015 Itemization input form had a field lock icon, but the field on the 1003 URLA Lender form did not, which could result in different values in the fields between the two forms. (In Encompass 22.3, the field lock was removed from field URLA.X145 on the 2015 Itemization.) Now that field URLA.X145 has a field lock icon on both forms in Encompass 24.2, the values remain consistent.

A field Lock that authorized users can utilize to override the system-calculated value used in the field has been added to the HOEPA Status field (HMDA.X13) on the following input forms and screens:

• The Fannie Mae tab and Freddie Mac tab on the ULDD/PDD input form
• NMLS pop-up window accessed from the HMDA Information input form
• HMDA Information form in the Data Templates settings

A field lock had already been provided on the HOEPA Status field on the HMDA Information input form in earlier versions of Encompass, so this update ensures a consistent user experience on the additional input forms/screens where this field is provided.

The Other New Mortgage Loans on the Property the Borrower(s) is Buying or Refinancing calculation (URLA.X230) has been updated to include the entire Loan Amount(s) (URLARAL0020) on the VOAL (Verification of Additional Liabilities) for mortgages (URLARAL0016) (i.e., not HELOCs) instead of only the amount applied to the down payment (URLARAL0022). This update has been made to help users clearly see the total loan amount, initial draw, the amount applied to the down payment, and the monthly payment.

Migration Notes:

• For active loans (1393), the new calculation is applied to field URLA.X230.

• For non-active loans (1393), field URLA.X230 will be locked/retained to preserve data integrity since the data may have already been reported to HMDA.

When a HMDA repurchase date is added to the Repurchase Date field (3312) on the HMDA information input form, the year of this date is now populated to the repurchase HMDA Reporting Year field (HMDA.X92) on the HMDA Information input form's Repurchase Loans tab for data consistency.

If HMDA.X92 is locked and the user has manually entered a year, this field will not be automatically populated with the year from field 3312.

The Manufactured Home Width Type field (ULDD.ManufacturedHomeWidthType) is now available on the 1003 URLA Part 4 input form. The field was added to provide easy access to this data when submitting loans to Freddie Mac's Loan Product Advisor underwriting system. Previously this field was only provided on the ULDD/PDD input form. (It remains available on the form in Encompass 24.2.)

A new Pre-Approval Credit Report checkbox (5006) has been added to the Credit Information section of the Borrower Summary - Origination input form. Only the Prequal Credit Report (4750) or the new Pre-Approval Credit Report checkbox can be selected, not both. If one of these checkboxes is selected and then the other is selected, the original checkbox selection is cleared.

This new pre-approval option has been added since the prequal report cannot be used for underwriting purposes, while a preapproval can be used for underwriting and other purposes, all the way up to about 10 days before closing. This option enables lenders to use the new value to track/report on credit report information and control credit report behavior via business rules in Encompass accordingly.

The Down Payment % (1771) and down payment dollar amount (1335) fields have been added to the 1003 URLA - Lender input form. Previously, these fields were only provided on the Borrower Summary - Origination input form. (These fields remain available on the form in Encompass 24.2.) This update was made to make the 1003 URLA - Lender form consistent with the corresponding fields provided on the Borrower Summary - Origination form.

The following fields have been added to the New Mexico State Specific Information input form to enable users to fully populate the New Mexico Rate Lock disclosure included in some disclosure packages.

• Lock Date (761)
• Lock-In Period Expires (762)
• Lock-In Extension Number of Days (5002) - This is a brand-new field added to Encompass.
• Lock-In Terms and Conditions (DISCLOSURE.X277)
• Lock-In Refund Conditions (DISCLOSURE.X189)

The following ARM Index options listed for field 1959 have been updated with a (Retired) indicator since Fannie Mae will no longer be supporting them. This update has also been made in the applicable ARM Index dropdown lists (LE2.X96, 4512) where these fields are provided including the RegZ-CD, RegZ-LE, HELOC Management, Closing Disclosure Page 4, and Lock Request Form input forms.

(Updated on 8/8/2024)

When renaming eFolder document views in the Manage Views pop-up window where a unique name may be entered, an updated error message is now provided if the document view uses ASCII characters for the name. Encompass does not support ASCII characters for eFolder document view names and this is now referenced in the error message to provide more direction for the user.

In Encompass 24.1 we introduced a new approach to help optimize Encompass Pipeline loading performance where archived loans are no longer displayed in the Pipeline by default. For users that want to view archived loans, they can select the new Include Archive Loans checkbox at the top of the screen to include these loans in the Pipeline. In Encompass 24.2, additional updates have been made so that archived loans and archive loan folders are not included in the Loans in My Pipeline and other Home page modules by default. In addition, updates have been made to the settings in Dashboards and Reports to enable users to exclude archive loans.

Home Page Modules:

Users (with the required Personas permission) can select the Include Archive Loans checkbox for the following modules to include archive loans and archive folders in these locations (since this checkbox is not selected by default).

When users want to see archive loans and folders in the Loans in My Pipeline Home page module, they must select the Include Archive Loans checkbox and then re-select the archive folder from the Folder dropdown list.

Loan in My Pipeline Home Page Module Preferences screen

Note that the Include Archive Loans checkbox option on the Pipeline has no impact on whether or not archive loans/folders are included in a Home page module. For example, a user can elect to include the archive loans in the Pipeline, but not include them in the Loans in My Pipeline module. In addition, the Persona settings for the Pipeline > Access to Archive Folders and Access to Archive Loans also determines the user's access to the module's Include Archive Loans checkbox.

Dashboard and Reports:

When managing the queries for the Dashboard snapshot settings and the Reports settings, users can now select the All loan folders except Archive folders and Archive loans option to exclude archive folders and archive loans in active loan folders. In earlier versions of Encompass, this option only applied to archive folders. The label for this option, and the accompanying functionality to exclude archive loans, has been added in Encompass 24.2.

Manage Dashboard Snapshots

Reports Settings

Note that the Persona settings for the Pipeline > Access to Archive Folders and Access to Archive Loans are not enforced for these Dashboard settings and the Report settings. However, if the user does not have access to a loan in a folder, they will not be able to run a report on that folder. This is existing functionality.

When a loan is moved from an archive folder to an active or different archive folder, Encompass now retains the state of the loan prior to when the loan was originally moved to the archive folder. The state of the loan is based on the loan-level Archived checkbox (5016). If the checkbox is selected, the loan is archived. If the checkbox is not selected, the loan is active. To help clarify this new behavior, here are two example scenarios:

Scenario 1:

You have an active loan in an active folder. You then move it to an archive folder. This changes the state of the loan from active to archived. If you then move this loan from the archive folder to an active folder, the loan will return to its original state which, in this case, is active.

In Encompass 24.1, this loan would still be considered archived when it was moved out of the archive folder. Now in Encompass 24.2, this loan is considered active when it is moved from the archive folder to an active folder.

Scenario 2:

You have an archived loan in an active folder. You then move it to an archive folder. This state of the loan remains as archived since it was moved to an archive folder. If you then move this loan from the archived folder back to an active folder, the loan remains as archived since this was the original state of the loan prior to it being moved from the active folder.

Note also that if a loan is created or saved in an archive folder, it will remain as archived when moved out to an active folder.

(Added on 7/23/2024) 

To help improve the visibility of the View Your Documents hyperlink that is provided in email messages sent to borrowers when there are electronic loan documents available for them to review or other requested actions are needed, the default email template in Encompass has been updated to remove the 'button' attribute from this link so that it displays in plain text instead of against a blue button.

(Added on 7/23/2024) 

The eFolder's Document Viewer now supports hyperlinks. Hyperlinks contained in attachments presented in the Document Viewer can be clicked to navigate within the attachment or external to the attachment. Previously, the hyperlinks were displayed as plain text and could not be clicked. Internal links (i.e., links that take you to a location within the same file) and external links (i.e., links that take you to a location outside of the file, like a website) are both supported.

(Added on 8/8/2024) 

After retrieving fax documents or scanned files imported from the Scan Document Uploader into the eFolder, the following updates have been introduced to the Retrieve pop-up window in Encompass 24.2: 

• Automatic delivery recognition is applied to the documents (for both manual and auto retrieve) and the name of the associated document is displayed in the Name column. Previously, a generic name like 2 pages of Scanned Document was displayed in the Name column.

• The documents are split into distinct groups of documents based on delivery recognition.

• The Sender of the documents is now indicated as IMT Scan. Previously, the borrower name was displayed in this column.

(Added on 8/16/2024) 

ICE Mortgage Technology is continually upgrading systems and applications to adhere to current industry security standards and protocols to protect our clients' data. As such, a new file size limit of 6MB will now be enforced for HTML files in Encompass.

Any HTML file being uploaded to Encompass by any means (for example, borrower returned documents, via a Partner integration, as part of an Encompass Consumer Connect loan application, etc.) cannot exceed 6MB or the upload will fail.

A new icon, shown below, is now used for the Encompass Admin Tools and the following related tools. This icon is displayed in the application list displayed under the Start menu > Ellie Mae Encompass Folder for users opening Encompass and other related Encompass tools, as well as within the individual tools:

• Encompass Admin Tools
• Online User Manager
• Settings Manager
• Version Manager
• Reporting Database

(Added on 8/8/2024)

In the Preferred Contact Method section for borrowers and co-borrowers on the Borrower Summary - Origination input form (and others), users can utilize the Accept Text/SMS checkbox (4920 and 4935) to indicate that the borrower or co-borrower will accept or not accept text/sms messages on their cell phone. Selecting this checkbox for the borrower or co-borrower indicates they do accept these messages. When leads are imported into Velocify's LeadManager or LoanEngage from Encompass, those applications will now honor this Accept Text/SMS checkbox selection to determine if text messages are or are not sent to these borrowers from Velocify. Velocify users continue to have the option opt out or opt in leads in LeadManager and LoanEngage for text/sms messages using the settings in Velocify.

Updates have been made to help improve system performance when saving changes to loans (i.e., loan save). A new approach to managing the impacted fields in the Encompass Reporting Database has resulted in improved system performance upon loan save.

(Updated on 7/12/2024)

A new installer for the desktop version of Encompass is now available. Use this installer to install the Encompass SmartClient components that are required before a user can log into Encompass for the first time. This is an installation procedure performed by a user logged on to the computer using a Microsoft Windows account and login with the admin user ID and password. This new installer supports silent installation and also installs Encompass much faster than the legacy Encompass installer.

Please note the following: 

• Administrators are NOT required to uninstall and reinstall Encompass for existing users. We are simply making the new installer available to use when needed.

• The new installer is intended to be used for brand new installations or when an existing Encompass installation needs to be uninstalled and then reinstalled.

• While utilizing the new Encompass installer is not required, it is recommended to use it for any new installations to experience the benefits mentioned above. The legacy Encompass installer will be deprecated in the future.

Please visit KA #000115575 - New Encompass Installer Functions for more information about silent and passive installations, uninstallations, and more.

The new Encompass installer can be downloaded here.

(Added on 8/8/2024)

The Nationwide Mortgage Licensing System (NMLS) recently released an update Version 6 of the Mortgage Call Report where Brokered loan amounts and counts are no longer included in any calculations under Section II of the report. Accordingly, Encompass has been updated to exclude the data for Brokered loans (i.e., loan files where the loan channel (field 2626) is set to Brokered (field 3) from the calculations used to populate Section II section of the generated version 6 NMLS report (Amount ($) and Loan Count (#) columns).

• Versions 1 - 5 of the report still include Brokered loan data.

• Section I of the version 6 report still includes Brokered loan data.

• Version 6 of the report is used to capture data for periods on or after January 1, 2024. Q2 data (April 1 - June 30, 2024) is due August 14.

• Refer to the NMLS Reports online help topic for instructions for generating the NMLS report data in Encompass.

(Added on 8/19/2024)

To help facilitate the inclusion of repurchase loans in the Encompass HMDA data export, a new standard field to capture the Repurchased Action Date (HMDA.X122) has been added to the Encompass Reporting Database. The HMDA Action Date (HMDA.X96), if valid, is copied to this new field and used for repurchased loans in the report.

When logging into the Encompass Reporting Database for the first time after this release, you will be prompted with a pop-up message stating, In order to generate the HMDA Report, the following fields must be added to the Reporting Database: HMDA.X122 (Repurchased Action Date (Date Format)). Click Yes to add this field. If you do not add the field at this time, you will be prompted again that one or more fields required to generate the HMDA Report is missing from your Reporting Database the next time you attempt to generate the HMDA report.

It is important to note that once you have added HMDA.X122 to the Reporting Database, you will then be prompted to rebuild the database. You must perform this rebuild in order for HMDA.X122 to be used for the report going forward. This rebuild may take several minutes to complete.

This HMDA.X122 field is not displayed on any input forms or other screens in Encompass.