When it comes to loan servicing across multiple states, you need a robust system to quickly and accurately manage loans, so you stay within the many varied regulations from state-to-state. This is where GOLDPoint’s loan management and loan origination software really shines.
We service millions of loans every year in multiple states and consistently pass audits in all states we service. With the adaptability and customizability of our product, there is also the potential to add the capability to service loans in any state in the US.
One example of our adaptable system is with convenience fees. Convenience fees are a way for lending institutions to assess a fee to borrowers for the opportunity of making certain types of payments. For example, if a borrower were to call in to one of your branches to make a payment on the Due Date, it requires a teller at your institution to take the timely payment. Therefore, there is a cost involved to employ that teller, so some states allow a convenience fee to be passed onto the borrower to offset the cost of the extra convenience.
Other states allow lending institutions to offset the cost of the fee involved in processing debit or credit cards through a third-party payment card processor.
Convenience fees are not allowed in every state, and some states won’t allow convenience fees if the payment was made via your website.
Therefore, it becomes crucial to manage different state rules and regulations. CIM GOLD, GOLDPoint Systems’ loan origination application, allows you to control how convenience fees are applied to loans originated in specific states to keep your business in compliance.
1. Before you can set up state-specific fees, your GOLDPoint Systems account manager must set up an EZPay IMAC option called “Use Convenience Fee Table.” Once that is set up, continue with the remaining steps.
2. Under Loans > System Setup Screens in the left tree navigation, select “EZPay Convenience Fee,” and you’ll see the screen below.
3. Select the State and Loan Type for which you want to set up specific convenience fees.
4. As you can see in the example above, you can set up different fees based on where the payment is made. CIM GOLD would be the EZPay screen (not GOLDTeller payments). Web would be from your website. GOLDPhone would be from a payment over the phone. Input fee amounts for each payment type.
5. Click <Save Changes>.
Once those fees are set up, they will show on the EZPay screen when a teller goes to make a payment on behalf of the borrower, if the loan type and state where the loan was originated has CIM GOLD convenience fees. As you can see below, the $5.00 fee is assessed for this borrower’s payment method, loan type, and state. It's that easy.
Your lending software should be the foundation you build off of, not the ceiling that limits you. If you have any questions, please let us know!