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Default Servicing Solutions
Clayton Consulting has extensive knowledge of default servicing best practices and innovative programs to assist with the increase in residential mortgage default volumes.  Clayton has advised numerous parties in the mortgage industry on current governmental intervention and regulatory programs as well as newly created loan modification programs.  This extensive knowledge assists Clayton’s clients with the review and implementation of customized default and loss mitigation solutions to enhance their business process.

Suite of Services

Adherence to Federal Home Retention and Loan Modification Programs

  • Review current default servicing operations against stated government regulations and guidelines.
  • Assess loan modification programs for compliance with regulations and industry best practices.
  • Identify opportunities and loan modification strategies for improved loan modification performance.
  • Formulate and / or assist with implementation of policies and procedures necessary to identify population of loans that qualify for targeted programs.
  • Assist with managing modification volumes and processing timelines.

Identification of Industry Best Practices

  • Perform gap analysis of current operating processes to identify key risks and deficiencies and provide recommendations for operational improvement.
  • Assess current default servicing practices to ensure that policies and procedures meet industry best practices.
  • Review current and projected workflow, caseloads, and capacity planning.
  • Perform sample audits of individual loans and loan records to validate servicing policies against actual practices.

Customized Default and Loss Mitigation Solutions

  • Assist in developing and implementing optimal organizational structure and business processes including key performance metrics and technologies required to meet the needs of the current and anticipated default servicing environment.
  • Create flexible status reporting custom-tailored to business needs, including loan modification volumes, performance, and re-default rates.
  • Staffing solutions to assist with the approval and processing of increased modification and short sale volumes.

Advanced Training for Internal Staff

  • Develop and implement ongoing operational training regimen for new-hires and tenured staff based on best-practice policies and procedures.
  • Provide advanced collections, loss mitigation, and default training for servicing staff.
What is the Value-Add to Your Business?
  • Expanded knowledge of industry best practices and government initiatives and the impact on performance.
  • Implementation of best-practice procedures to manage defaulted mortgage collateral in a challenging environment.
  • Customized solutions to meet unique operational requirements and collateral characteristics.
  • Potential reduction in loss severities through enhanced default servicing practices.
  • Understanding of mandated loan modification programs and updated industry regulations.
  • Strategic implementation of enhanced loss mitigation solutions.