The Florida-based software provider eMason, Inc. announced key enhancements this week to its Clarifire application that the company says will allow servicers to respond more rapidly to federal loan modification

guidelines. Specifically, eMason says the upgrades provide automatic decision-making and processing for borrowers who “fall out” of the Home Affordable Modification Program (HAMP), including consideration for Fannie Mae’s recently announced Alternative Modification (Alt Mod).

The Clarifire application features certified Fannie Mae workout rules, is integrated with the latest federal program guidelines, and offers servicers a complete solution for processing loss mitigation workouts direct to the investor, eMason explained.

By ensuring servicers are using the most current version of workout rules, the company says Clarifire increases the number of delegated cases by 60 percent, reduces the need for Fannie Mae approval, and results in more accurate workouts.

“Keeping up with the frequently changing loan modification guidelines is extremely complex, but with Clarifire‟s advanced technology, we can conform to regulations on the fly, making it easy for servicers to respond to borrowers quickly and accurately,” said Jane Mason, president and CEO of eMason. “The Clarifire application has already helped one mega servicer accurately qualify, validate, and decision the majority of its HAMP fallout portfolio in one day.”

eMason says the new Clarifire technology is already providing proven results to mortgage servicers by processing their HAMP-denied loan population in minutes versus weeks. The company says the mega servicer mentioned by Mason above is saving an estimated $1.5 million per month in expenses with Clarifire.

The new application enhancements also give servicers flexibility in formulating a final modification, such as allowing overrides of values. In addition, the software determines principal forbearance thresholds for positive and negative Net Present Value (NPV), and creates the documentation required for HAMP and Alt Mod letters as specified by the servicer.

eMason says as an added value, the Clarifire technology also automatically optimizes loan data prior to processing, including validating loan data, identification of missing or incomplete information, and balancing calculations.

The application is certified by Fannie Mae for multiple loss mitigation workout types, and eMason says its success has already been proven by reducing workout cycle times for Fannie Mae and its servicers. More than 110 law firms and 23 mega-servicers in the Fannie Mae network use the Clarifire application for loss mitigation, the company explained.