WASHINGTON–Fannie Mae has taken a step to allow for greater use of e-signatures in the mortgage process.
Fannie Mae said it has selected eOriginal to provide the technology that can be used to remove some of the paper from a paper-intensive transaction.
“With eMortgage, lenders and borrowers get freedom from paper-based processes at the closing table, leading to a better borrower experience and increased operational efficiencies for lenders,” said Cindy McKissock, vice president of customer digital experience at Fannie Mae, in a statement.
By utilizing eOriginal’s hosted solution, Fannie Mae said it will accelerate deployment and greatly reduce costs for ongoing support efforts. The company noted that the legal basis for eSignatures was established by Congress on June 30, 2000. Forty-seven states, the District of Columbia, and the U.S. Virgin Islands also have adopted a single law. The remaining three states (WA, IL, and NY) each have their own statutes to address electronic signatures.
“With increasing pressure from borrowers for a better mortgage experience, and ever-increasing scrutiny on compliance by regulators, it is time for lenders who are still bound to paper to take the steps to embrace the digital mortgage process,” commented Simon Moir, general manager of digital mortgage at eOriginal, in a statement. “Fannie Mae’s commitment to electronic mortgage is further evidence that the industry is ready for a digital transformation that can improve the borrower experience and deliver operational and capital efficiencies to the lender.”