TRID best practices

Best Practices for Navigating TRID and Vendor Management

ATS Secured hosted a webinar yesterday called, “Navigating TRID and Vendor Management.” Below are some takeaways—best practices for lenders and title agents to consider in the new regulatory environment.

Our next webinar will be an in-depth look at vendor management:

What You Need To Know About Vendor Management

Lenders and title agents: mortgage industry regulations abound, and your liability for third-party actions is greater than ever. Find out exactly what you need to do to manage vendors to reduce your risk and satisfy regulatory requirements.  

This webinar will also include a Q&A, so you can get your specific vendor management questions answered.

Download the full webinar here.

Takeaways from our June 7 webinar:

Vendor Management Roles and Responsibilities

  1. Board and senior management involvement is expected and critical to success of vendor management program
  1. Board can delegate duties, but remains primarily responsible
  1. Senior management key to design, implementation, monitoring, and enforcement of vendor program
  1. Best practice is to establish one individual or team to manage relationships with clear lines of authority
  1. All relevant employees should be knowledgeable about the vendor framework

TRID/Vendor Document Efforts

  1. Document oversight program and maintain adequate reports and records.
  • Inventory of all vendor relationships and related contracts
  • Due diligence results and findings
  • Ongoing oversight reports
  • Reporting to senior management and board
  1. Periodically report results of oversight activities to the Board or a designated committee

Vendor Examination Tips

  1. Vendors vs. Any Third Party
  • Be prepared for examiners to expand from “vendors” who provide goods and services to your company to any third party with which you do business.
  1. Failures and Complaints
  • Examiners will focus where there is an identified failure.
  • If there is a failure, conduct a “root cause” analysis so you can show a complete resolution to the examiner.
  • Focus on complaints received about a vendor, or received by the vendor from a customer.
  1. Critical Vendors
  • For critical vendors, especially consumer-facing ones on which the CFPB will focus, prepare a complete package of your company’s efforts starting from vendor selection through contracting, and ongoing vendor oversight so the examiner can see the strong management of the entire process.
  1. Be Proactive
  • If you can identify gaps, better to start filling them now than waiting for regulatory criticism later.

Interested in learning more from this webinar? Download the full webinar, complete with Q&As, today!