A mortgage consulting firm based in Illinois promises to cut some of mortgage servicers’ legal expenses by three quarters.
Cost savings up to 75 percent can be had from the new residential mortgage loan review service promoted in a news release Friday from Huron Consulting Group.
Mortgage servicers are being pressured by government agencies and private litigants to provide information on loans, according to the Chicago firm. It launched the operation to help banks and lending institutions deal with “large scale, loan-related lawsuits, investigations, and regulatory inquiries.”
Huron says that in addition to being required, to analyze loan files under severe time constraints, servicers are forced to pay for expenses tied to the complexity of data and sheer volume of files unless they go with an alternative non-hourly fee model.
“We are currently implementing this new analysis workflow on millions of loan files and delivering savings in the tens of millions of dollars,” Huron executive Shahzad Bashir claimed in the press release.
The company said it has “more than 300 professionals with backgrounds in law and real estate, working under the direction of the client’s counsel.”
One client reportedly saved $20 million — or a 75 percent reduction in costs — by adopting Huron’s predictable priced document review solution.
