New TIL Payment Tables

by Michael Shohoney January 27, 2011 06:53
Our software (both eZMath and ZMath StandAlone) have been updated to output the new TIL Payment Tables as required by the September 24, 2010 rule.  If you are a user of eZMath, you will see a new ouput option from the drop-down menu that lists the H4 forms.  Select that output to see a sample form.  These are sample forms!  You should use the data contained in those forms to fill the forms that you use at your institution.  If you are a ZMath Stand-Alone owner you will have to upgrade your software.  Please contact us for information about how to do that.

Sweeping Regulation Z Changes

by Michael Shohoney October 6, 2010 07:12
As many of you are painfully aware, Regulation Z had some massive changes made to it on September 24.  The changes, which are part of the Mortgage Disclosure Improvement Act (MDIA), affect the Truth-in-Lending statement for all loans secured by real property or a dwelling.  Instead of the payment schedule disclosed under Section 226.18 (g), a new payment table as defined in new Section 226.18 (s) must be disclosed.  Obviously these changes affect ZMath, eZMath and the ZMathEngine.  We have already begun the process of updating all of these systems and will release new versions prior to the mandatory compliance date of January 30, 2011.  As always, if you have any questions, feel free to contact us.  As soon as we are ready to release the changes, we will notify our customers directly and via our blog.

Reverse Mortgage Changes Launched!

by Michael Shohoney October 4, 2010 09:29
Today Math Corporation would like to announce that the changes required to be in effect on October 4 have been launched on our web site.  eZMathReverse has been altered to include the HECM Saver product.  The new principal rate factors have also been incorporated.  If you are writing reverse mortgage business, you need to be cognizant of the changes and make sure that you select the proper options when calculating those products.  Pay particular attention to the rates in effect for any standard HECM product.  If the loan is being written after October 3, you must use the new principal rate factors.  Also, you cannot write a HECM Saver unless it is originated after October 3.  As always, if you have any questions, contact us.

ZMathReverse Changes

by Michael Shohoney September 24, 2010 07:04

On Monday, September 20, 2010, HUD issued Mortgagee Letter 2010-34 which made some sweeping changes to the Home Equity Conversion Mortgage (HECM) program.  The changes included the introduction of a new program, the HECM Saver loan, new insurance premium factors for both the HECM and HECM Saver programs, and new principal limit rate factors for both programs that MUST be used for any loans applied for on or before October 4, 2010.

Tuesday, September 21, 2010, Math Corporation began making the changes necessary to implement the new programs and rate factors.  Late Tuesday the ZMathReverse component was released to our client base ready for the October 4 implementation date.  We also initiated changes to the eZMathReverse program and will have that up and running on the web site on October 4.  If you are affected by these changes, you need to be sure that you have the current version in place prior to October 4.  If you have any questions, please contact us immediately.

FHA Insurance Premium Changes

by Michael Shohoney September 2, 2010 06:10

Yesterday HUD announced (Mortgageee Letter 2010-28) that the premium factors for FHA mortgage insurance will change for loans where the case number is assigned on or before October 4, 2010.  The upfront premium factors are lower while the annual renewal factors are higher.  The new premium factors are:

Upfront Premium Factor--100 Basis Points (i.e. 1.0)

Annual Renewal Factors for loans with a term greater than 15 years--LTV equal to or less than 95%, 85 Basis Points (i.e. 0.85).  LTV greater than 95%, 90 Basis Points (i.e. 0.9)

Annual Renewal Factors for loans with a term equal to or less than 15 years--LTV equal to or less than 90%, No renewal premium.  LTV greater than 90%, 25 Basis Points (i.e. 0.25)

 Additionally, the premium factors for the HECM (Home Equity Conversion Mortgage) program have changed as well.  The new factors for these reverse mortgages are:

Upfront Premium Factor--200 Basis Points (i.e. 2.0)

Annual Renewal Factor--125 Basis Points (i.e. 1.25)

 Since the ZMath Engine, ZMath, eZMath, ZMathReverse and eZMathReverse products all allow the user to enter the insurance factors for all products, a change is not required to your software.  However, changes are required for your inputs (however you may handle that).  Be sure to begin to use the correct premium factors for all loans whose case number assignment occurs on or before October 4, 2010.

 As always, we are here to help.  If you have problems or questions regarding these changes and how it will affect your system(s), please do not hesitate to contact us.

Compound to Fill the Void?

by Michael Shohoney April 1, 2010 06:37

In basic chemistry, we learn that two or more elements combine to form a compound.  Those compounds (along with the elements that form them) form our world.

Let's consider your systems and compliance needs.  Are there voids in those systems?  Be honest.  If you're like most in the industry, there have to be some holes that need to be filled.  Well, we have the solutions to your problems.  Let's take an example.  Do you have issues with the HUD requirements (i.e. the new disclosures, the GFE, the HUD 1 and 1A, closing docs, etc.)?  If you take two of the ZMathElements, you form your very own ZMathCompound.  Take the ZMathElements, ZMathGFE and ZMathAggEscrow and you have a compound that will plug any void that HUD requirements throws your system.  And, you can have the solution implemented virtually overnight.

How about another example?  Let's say you want to offer loan scenarios on your web site.  As a part of that, you want to calculate a payment amount and an APR.  Should you write your own?  Should you try to shoe horn your current system information into it?  No way!  We have ZMathElements that would work nicely for just that sort of thing.

The lesson is, why struggle with issues that can easily be addressed by an Element or Compound.  Contact us and let us help formulate your solution.


by Michael Shohoney February 18, 2010 07:27
Math Corporation today made its next product, ZMathElements, available for license.  ZMathElements, as the name infers, are some of the base elements (i.e. functions and tasks) that make up the ZMathEngine.  It is targeted to those that only need a part or parts of the ZMathEngine, instead of the entire solution.  Go check out the product page and let us know what you think.  If you have Elements that you'd like to see, let us know.

New HUD GFE Outputs Added

by Michael Shohoney January 11, 2010 07:01

As many of you are painfully aware, new HUD GFE requirements went into effect on January 1, 2010.  Those requirements included a new GFE form that has some fairly complex calculations associated with it, particularly in the "Summary of your loan" section.  The complexity of the calculations actually precipitated HUD to defer enforcement of the new rules for an additional 120 days.  This deferment is strictly enforcement.  You must still produce and distribute the form as prescribed by the regulations.

On December 1, 2009, Math Corporation released new versions of our components and software packages that include the data necessary for the new disclosures.  If you need to comply with the new regulation, don't labor over it, contact us and bring your systems up to 100% compliance!

New Years Resolution

by Michael Shohoney January 7, 2010 05:33
I'm not one that makes New Years resolutions very often as I see them as a formula for failure because we always set goals that are unrealistic.  However, as I sat down and assessed Math Corporation's 2009, I saw one glaring issue that needed to be addressed for improvement in 2010 and that was my own performance in blog posting here, on Twitter and Facebook!  So, as I sit here, I resolve that I will try to be more regular in my blog postings going forward.  We would still love to have input from you, our users, for blog postings and would love to have submissions that we would post.  So, if you have something you would like to see addressed, let us know!  Here's to a great 2010 for us all.

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eZMathReverse Updated

by Michael Shohoney October 5, 2009 09:35
The eZMathReverse application has been updated.  This update represents a complete rewrite of the previous version.  Not only does the new version incorporate both the original and new HECM principal rate factors, it also outputs the Truth-in-Lending statement, if applicable.  You can now use eZMathReverse as your one source of calculated figures for your reverse mortgage operation.  Give it a run and let us know how we did!