Sovereign Bancorp automates correspondent lending processing with ARC Systems

ARC Systems of Austin, Texas, a leading mortgage automation provider, has reached an agreement with Sovereign Bancorp, Inc. (NYSE:SOV), headquartered in Philadelphia, to automate their decisioning on purchases of closed loans by Sovereign Finance Company on a bulk and flow basis.

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A Web-enabled platform for submitting loans will be established and is to include third-party compliance screening.

"This is Sovereign Finance Company's first automated underwriting engine and we expect its turnkey nature to streamline our correspondent lending operation and make it more efficient for our business partners," said Clifford A. Schultz, Senior Vice President, National Correspondent Lending at Sovereign Bank.

"Our goal is to supply our correspondent lending business partners with the speed they require. The only way to meet that requirement is to employ this advanced technology from ARC Systems," he added.

Ed Jones, President and Chief Executive Officer of ARC Systems, said "Sovereign is one of the top 20 banks in the country and joins another of our customers, Deutsche Bank, which is one of the top international financial institutions, further expanding our reach into the large bank arena."

Steve Jenkins, Vice President, Business Development, ARC Systems, added: "Our existing relationship with other clients like HSBC Mortgage Services enables us to accommodate the flow business and browser-based business of companies like Sovereign."

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