Release Notes - BytePro Loan Modification Edition

BytePro Loan Modification Edition 4.1 Update 1 - February 22 Release

Added 'Request for Modification Affidavit' (RMA) Word document. The Loan Modification Edition Update web page has more information on updating and installing BytePro custom Word documents.
This document is intended to replace the Hardship Affidavit and the SIGTARP notice, as well as portions of the old trial period plan document. Servicers may require borrowers to complete the RMA, or alternatively require the use of a similar form(s).

Added the 'Trial Period Plan Notice - Stated Income,' and the 'Trial Period Plan Notice - Verified Income' Word documents. The Loan Modification Edition Update web page has information on updating and installing BytePro custom Word documents.
Both documents may be used immediately, but must be in use by March 1, 2010.

Corrected loan setup and trial payment report errors received during LPS submissions.

Removed warning about the negative NPV when mark-to-market LTV is less than 100% in accordance with supplemental directive 10-01, Fannie Mae announcement SVC-2010-03 and Freddie Bulletin 2010-3.

Added new warnings to the 'Pre-Mod NPV' and 'Post-Mod NPV' fields for Fannie Mae and Freddie Mac loans if the pre-mod NPV exceeds the post-mod NPV by more than $5,000.

Added a warning to the forbearance amount entered, in accordance with supplemental directive 10-01, Fannie Mae announcement SVC-2010-03 and Freddie Bulletin 2010-3. The warning appears if the forbearance exceeds 30% of the unpaid principal balance and the mark-to-market LTV is less than 100%.

Added escrow shortage monthly payment to column W for NPV test submissions. This is added to any existing HOA payment.

Re-labeled each of 'property value', 'appraised value' and 'appraised value (current property value)' fields to 'current appraised value' - for improved consistency.

BytePro Loan Modification Edition 4.1 Update 1 - January 26 Release

Added HMP HMDA NPV Report and associated data screen.

HMP HMDA NPV Report Screen

Click 'HMP - HMDA Reporting' in the sidebar on the left. The new screen contains fields for all data required for the HMDA report, including borrower ethnicity, race and sex.
If race, gender or ethnicity information is not available for the borrower(s), put a check to the right of the 'Race/ethnicity/gender information not available' field in Loan Details.
BytePro validation checks for any missing information required for the HMDA report. To trigger validation, click 'Create XML' at the top left of the screen.
A flag for 'Reported HMP HMDA information' is included at the top left.

HMP HMDA NPV Report

Click 'Create XML' (top left of the HMP HMDA screen) to create the internal report to include in the HMP HMDA-NPV batch report. Go to Tools (toolbar) > HMP Batch Reporting, and choose 'HMDA NPV File' from the Report Type dropdown list.

See the instructions below in the 4.1 Initial Release notes for more on creating and submitting a BytePro batch file to the LPS system.

Revised the Escrow Payment calculation to exclude any mortgage insurance payment. This is in accordance with changes documented in the HMP Data Dictionary on the HMPAdmin website.

Revised Monthly Payment Amount to include escrow shortage also in accordance with changes to the HMP Data Dictionary.

Revised Submission Status selections:

Added new statuses, 'Official Correction' and 'Official Cancel'.
Changed status 'Cancel' to 'Trial Cancel'.
Flagged statuses 'Borrower Disqualified' and 'Foreclosure Mitigation' as obsolete.

BytePro Loan Modification Edition 4.1 - Initial Release

Added a replacement for the Data Collector spreadsheet.

The new reporting system allows you to create XML files for each reporting event that needs to be reported to the Treasury. Multiple reporting events can be batched into a single XML file for upload to the hmpadmin.com Web site.

Each reporting event is assigned a batch code. BytePro groups all reporting events with the same batch code and report type into the same XML file. To set the default batch code go to Customize > Defaults > HMP and enter a Default HMP Batch Code.

To report trial payments received, go to the HMP - Payments screen and press the "XML" button next to the payment you wish to report. BytePro will ask you to confirm the data, which will be stored in the loan file until it is reported. To view the reporting events that have been created for the loan file go to the HMP - Batch Reports screen.

To report the start of the trial period or an official modification go to the HMP - Reporting screen and press the button labled "Create XML..." at the top of the screen.

Once you have created all of the reporting events for all of the files that need to be reported, select the Tools > HMP Batch Reporting menu item. On the HMP Batch Reporting screen, enter the Batch, the report type and the Organization that you wish to report for. Click the Query Records button. Confirm that the results are correct, then press the Compile Report button. BytePro will prompt for your Servicer Login Name. BytePro will then create an XML file on your hard disk. Upload the file to the hmpadmin.com web site as directed by the Treasury.

BytePro Loan Modification Edition 4.0 - Update 2

Added the ability to add or remove Home Owners Dues (HOA) from the escrow portion of the trial plan payment.
To add the 'Home Owners Dues' to the trial period payment, check the 'Escrowed' box to the left of the HOD field in the 'Monthly Housing Expenses' section (top right) on the HMP - Worksheet screen.
Escrowed or not, the HOD amount will be included in the calculation of the borrower's current DTI.

Added several fields as specified in Supplemental Directive 09-06. These fields will be transmitted to the Treasury in a subsequent release:

Added "Trial Not Approved/Not Accepted Reason" and "Trial Fallout Reason" to the Status section of the HMP - Home screen. The possible values for these fields are specified on the last page of the Supplemental Directive 09-06.
Changed the subject property type field to reflect the property types outlined on Page 6 of the directive (13th row of Schedule I - Identifying Information).
On the HMP - Application screen, added a new field labeled "Consent Provided", indicating whether or not the borrower signed the new hardship affidavit that provides borrower consent to report info to the Treasury. This corresponds to the "Consent Provided Indicator" field shown on page 8 of the directive.
Add a new field labeled "Race/Ethnicity/Gender Information Not Available". This corresponds to option 5 on the "Race/Ethnicity/Gender Source Type Code" shown on page 6 of the directive.

Made several changes in support of the modified Hardship Affidavit, Trial Period Plan, Modification Agreement in effect as of September 30, 2009:

On the HMP - Application screen, changed the label "Application Method" to "Race/Ethnicity/Gender Collection Method".
Added a message on the HMP - Trial Plan screen to indicate that the Note May Be Assumed and Subordination Agreement or Title Policy Required fields are no longer used on the Trial Plan.
Added a new field on the HMP - Mod Agreement screen labeled "Original loan docs did not include standard escrow provisions". The value of this field affects the language on the Modification Agreement.
Added a message on the HMP - Mod Agreement screen to indicate that the "Original Loan has Prepayment Penalty" field is no longer used on the Modification Agreement.
Changed the wording on the step schedule to indicate that the escrow amount "May adjust periodically" instead of "Adjusts Annually".

Added two new sample validation rules that check the value of the Yes/No selections on the Trial Plan and Modification Agreement.

Included HELOC and subordinate loan payments to Liabilities total for the imminent default screen and the total debt ratio (used for credit counseling determination).
Subordinate loans and HELOCs are found in the 'Liabilities' section on the HMP - Application screen. Double-click the mortgage or HELOC to edit. The 'Account Type' must be Mortgage or HELOC and the 'Resubordinated' checkbox on the liability edit screen must be checked.

Included the escrow shortage monthly payment (total escrow shortage divided into 60 payments) in the total debt ratio, used to determine need for borrower credit counseling. The total debt ratio is located on the HMP - Mod Agreement screen in the 'Modification Details' section near the bottom of the screen.

BytePro Loan Modification Edition 4.0 - Update 1

Added the NPV Model Version to the "HMP - NPV" screen. Based on the selection of the model, the "Copy to Clipboard" button will copy different fields:

If no NPV Model is selected the copy to clipboard will fail.
If version 1.0 is selected then you get a message that version 1.0 is not supported.
If version 2.0 is selected then you get fields A through AQ
If version 3.0 is selected then you get fields A through AR

Modified column "AB - Mark-to-Market LTV" on the NPV spreadsheet to be current unpaid principal balance divided by the appraised value.
Note that in all other parts of the program the Mark-to-Market LTV is the modified interest bearing balance divided by the appraised value.

Corrected problems with the TIL when the modification has forbearance.

The itemization of amount financed includes the forbearance amount
The mortgage insurance cutoff (e.g. at 78% LTV) calculates off of the unpaid balance, which now includes the forbearance amount.
The mortgage insurance premium calculation is now factors in the forbearance amount.