| The Massachusetts Division of Banks has a new web-based platform to assist its staff in examinations.
The agency said it had selected McLean, Virginia-based LendingPatterns for examiners to use in on site and off-site fair lending supervision and monitoring of mortgage lenders in Massachusetts.
LendingPatterns is a web-based data mining and analytical tool that uses Home Mortgage Disclosure Act data to analyze loan applications for every lender required to report HMDA data. The tool contains data from 2004 to present allowing for trend analysis on all aspects of mortgage lending. The reports identify potential areas of fair lending risk related to underwriting, pricing and redlining.
The platform met the DOB’s requirement for a web-based market analysis solution to enable bank examiners to promptly rank lenders against institutions, particularly as it relates to their lending in substantially majority-minority census tracts.
“The Massachusetts Division of Banking joins other governmental or regulatory enforcement agencies who trust ComplianceTech’s suite of web-based software tools to improve workflow efficiency and effectiveness of their compliance and fair lending examinations,” Michael Taliefero, managing director of ComplianceTech, LendingPatterns’ parent company, said in a statement.
ComplianceTech, a leading provider of fair lending and Community Reinvestment Act solutions to the federal government, lending institutions, law firms, community organizations and researchers, works closely with hundreds of lenders, federal banking and enforcement agencies as well as fair lending consultants and software vendors.
LendingPatterns and its companion product Fair Lending Magic were designed by lending industry experts with many years of field experience performing loan due diligence, underwriting and compliance exam-readiness consulting.
The company invented the first commercially available software for fair lending nearly 20 years ago and was the first company to develop software to apply racial and gender proxies for use in fair lending.
