Dolfan - here's the news you were looking for
Now all we need is for the bond rate to come down and we should start moving up again - bad timing on the FOMC meeting
News September 7, 13:14 Eastern Time
eOriginal Inc. Announces First Totally Electronic Consumer Mortgage Closings; Time to Close, Record and Deliver
Mortgage to Investor Reduced from 45 days to 5 Hours
BALTIMORE, Oct 7, 1999 (BUSINESS WIRE) -- eOriginal Inc. announced
today another significant step toward broadening implementation of its
patented process that creates negotiable, legally binding electronic
documents.
eOriginal has established, in the state of Florida, a pilot program
with the eOriginal(TM) system delivering the first end-to-end
electronic mortgage closings. Use of the eOriginal(TM) process
demonstrated savings in excess of $750 per originated loan and reduced
loan closing to secondary market delivery time from approximately 45
days to a mere 5 hours.
These efficiencies provide an opportunity to increase market share and
revenue through cost reductions and new loan program structures. Pilot
partners included GMAC-Residential Funding Corporation, Mortgage.com
(NASDAQ: MDCM), e-Closings.net, the Broward County Recorder's Office
(Florida) and homebuyers and sellers.
"This is the first time any mortgage has taken the pure form of an
Electronic Original(TM)," says Michael H. Jordan, eOriginal's Chairman
of the Board. "This pilot has far reaching implications for e-commerce
business expansion where retention of the authoritative original is
critical."
"We have always envisioned the eOriginal(TM) process enabling
electronic real estate transactions," said Stephen F. Bisbee, founder
and executive vice president of eOriginal, and co-inventor of the
process. "We not only see this as a breakthrough for the mortgage
industry, but for all industries where negotiable instruments and other
paper originals are required."
"This e-commerce innovation, the first electronic mortgage ever
processed, further affirms Florida's leadership in e-business and the
Internet," says Julia Johnson, Chair of the Governor's Internet Task
Force. "We are proud that this took place in our state, and that
several Florida businesses participated in the eOriginal pilot."
Pilot partners began testing the integration of the eOriginal(TM)
system in June 1999. Since then, more than 20 homebuyers have
participated in electronic mortgage closings. The mortgages were
electronically originated and underwritten by Mortgage.com.
The mortgage documentation was delivered via the Internet to
e-Closings.net where the consumers signed all the traditional forms for
the mortgage and conveyance of the home, but the signing was performed
online--not with pen and ink. The deed and mortgage instruments were
then transmitted on the Internet to the Broward County Recorder's
Office where they were registered.
Once recorded, the Electronic Original(TM) documents were returned to
e-Closings.net and instantly accessible on the eOriginal(TM) system,
via the Internet, to secondary market participant GMAC-RFC. While all
homebuyers elected to receive a paper copy of loan closing documents,
the authoritative Electronic Original(TM) documents were stored
digitally in a trusted repository.
"We believe that a fully electronic mortgage offers the significant
benefits and opportunities of Internet speed and access to consumers
and the mortgage industry. We are evaluating the eOriginal(TM) process
as an acceptable, alternative method to safely produce, deliver and
service electronic mortgages," said Mike Kozlak, Managing Director of
GMAC-RFC.
"We are pleased to have the opportunity to be the first lending
institution to process a completely electronic mortgage," says
Mortgage.com's CEO, Seth Werner. "This rounds out our primary business
goal of giving consumers the most cost effective and convenient way to
finance a home. The eOriginal business model allows us to improve
savings, quality and accuracy on all levels of the process."
About eOriginal
eOriginal Inc. has patented a technology neutral process to enable the electronic creation of
negotiable instruments in cyberspace, and the ability to transmit, store and retrieve these protected
Electronic Originals(TM). Through the integration of public key cryptography and other critical
technologies, the company guarantees the authenticity of Electronic Original(TM) documents (or any
digital object), the identity of the signatories and the integrity of the content. Douglas H. Trotter
is the company's chief executive officer and co-inventor of the eOriginal(TM) process. The company is
headquartered in the Warehouse at Camden Yards in Baltimore, Maryland. For more information, visit
the eOriginal Inc. website at eoriginal.com.
About Mortgage.com
Founded in 1994 and based in Plantation, Florida, Mortgage.com (formerly First Mortgage Network) is a
pioneer in online mortgage banking and consumer direct mortgage lending. As both a technology
provider and mortgage provider, Mortgage.com is responsible for over $2 billion in loans annually,
originating and closing 4,459 loans, with a total principal amount of $848.2 million, in the second
quarter of 1999 alone. Mortgage.com is dedicated to reducing the cost of mortgage origination and
funding by supplying realtors, home builders and financial institutions with point-of-sale and
Internet technology, business management, loan processing, and call center and mortgage funding
capabilities. The company's business-to-business customer list is a "who's who" of the financial
community, including Intuit, GE Capital Mortgage Services, Fleet, First Union, Net.B@nk, Prudential,
Cendant, Arvida Home Builders, Superior Bank and Fannie Mae. Mortgage.com is publicly traded on the
NASDAQ system under the symbol MDCM.
About GMAC-RFC
GMAC-RFC, a wholly owned subsidiary of GMAC, is committed to providing capital and investments
worldwide through its core businesses in securitization, lending and investment. The company is the
leading non-agency issuer of mortgage-backed securities and a leader in asset-backed securities and
warehouse lending. Headquartered in Minneapolis, the company has operations nationwide, in the United
Kingdom and Mexico.
About e-Closings.net
e-Closings.net is a newly established closing agent network designed to provide traditional or
electronic closing and title services to the consumer. Headquartered in Pembroke Pines, Florida,
e-Closings.net provides electronic links to county recorders and lenders in Florida.
Copyright (C) 1999 Business Wire. All rights reserved.
Distributed via COMTEX.
CONTACT: eOriginal Inc.
Susan Penn, 410/625-5151
slpenn@eoriginal.com
or
Wills & Associates, Inc.
Brad Wills, 301/530-3711
bwills@wills-pr.com
WEB PAGE: businesswire.com
GEOGRAPHY: MARYLAND FLORIDA MINNEAPOLIS INTERNATIONAL EUROPE
INDUSTRY CODE: COMED
COMPUTERS/ELECTRONICS
BANKING
INTERACTIVE/MULTIMEDIA/INTERNET
REAL
ESTATE
PRODUCT
Today's News On The Net - Business Wire's full file on the Internet
with Hyperlinks to your home page. |
