How does a lender ramp up yearly origination volumes from $300 million to $550 million without doubling staff? This was the challenge before Paul T. Pouliot, president of Bedford, NH-based CFX Mortgage, Inc., a subsidiary of CFX Bank, who found part of the answer in automated underwriting. "Automated underwriting has allowed us to add a small increment of people for this big-volume expansion. We can do more with less people," he says.
CFX Mortgage, a long-time Freddie Mac customer, currently uses its Loan Prospector, an automated underwriting system, to underwrite the mortgage bank's mostly fixed-rate conforming product. Pouliot's strategy is to move from four processing channels-conforming, FHA, VA and portfolio-to one channel for all loan types, using Loan Prospector as a universal underwriting engine. CFX Mortgage is in its second stage of automated underwriting deployment.