Equator, a leading provider of residential loan default software solutions and marketing solutions, is partnering with Austin-based blockchain form Factom Inc. in order to integrate the latter's blockchain-as-a-service (Baas) platform with its services.
The addition of the BaaS will help Equator to manage complex business data, documents and record management processes, thus bringing more efficiency and transparency into the default servicing process. It will also help to address the complexities of the default mortgage process. The blockchain will allow tracking of loan data while providing the firm's customers with the option have loan and workflow steps immutably recorded and tracked on the blockchain.
Equator, which is a business unit of Altisource, will be using the blockchain platform on the Equator PRO to track and manage data while providing loan management, loan default management, and loan servicing plans to its customers who include services, real estate agents and vendors.
PRO helps the servicers to perform loan management, loan modification, short sale/deed-in-lieu, foreclosure/bankruptcy, and real estate owned (REO) focused products. It also helps them with tools to manage defaulted loans and make more strategic and cost-efficient default servicing decisions. The blockchain will help them to create an immutable record of activities, data, events, and decisions. It will preserve the records and make them verifiable and independently auditable.
Senior Vice President of Equator and Hubzu Auction Services for Altisource Patrick G. McClain said that the company is committed to integrating technology that provides transparency and compliance in the loan default management. He added that the use of the blockchain platform will "support customers' compliance obligations."
The company is also adding Factom's Harmony tool to provide an option for individual loans to be tracked as individual chains of data on the blockchain. When customers of Equator PRO embed this blockchain service into their workflows, an immutable and encrypted audit record is built for each loan and workflow step on the blockchain.
Factom's blockchain also allows default mortgage participants to collaborate with default servicing process. Each of the parties retains their documents, files, and data while sharing it with the other.