Avista Solutions www.AvistaSolutions.com, a Columbia South Carolina-based provider of loan origination software (LOS) solutions for the mortgage industry, has announced that its Avista Agile suite of products, whether for retail, wholesale, or correspondent lending, has been updated to be compliant with the changes to the Real Estate Settlement Procedures Act (RESPA) that go into effect on January 1, 2010.

At the heart of the RESPA revisions are concerns that the initial transaction outlined in the Good Faith Estimate (GFE) can change by the time the loan is closed, with unexpected fees showing up on the HUD-1 Settlement Statement. The new rules require that the documents be consistent, and if there are changes, they be supported by specific documentation in the circumstances of the loan.

If the interest rate or amount financed changes, for example, additional fees may be incurred that constitute a valid change in circumstances, and this information has to be re-disclosed and specified on the settlement statement.

Avista Solutions provides side-by-side comparison screens for users to check for variances between the GFE and HUD-1. The company says its approach ensures all changes of circumstance are tracked and are instantly available for review.

Since Avista Agile is a web-based, Software as a Service (SaaS) system, the RESPA changes were made centrally by the company as part of its December compliance update. Avista says this centralized software management approach makes it easy for its clientele of regional and community banks, mortgage bankers, and credit unions to ensure they have the most current software available.

“We designed our system to provide the most modern, up to date loan origination technology in the business,” said Mark Phlieger, co-founder and CEO of Avista Solutions. “Not only does this mean that lenders no longer have to pay huge purchase costs to have the best system, it also means that important changes like the new RESPA requirements can be implemented with virtually no technology effort on their part.”