Case Study: Breach Letters

A large mortgage servicing organization needed to customize their breach letters based on state and federal-level regulatory requirements.  Any regulatory change needed to be coded, so IT had to scope out the project, write and test the code, then roll it out usually taking a month or more to complete, leaving them exposed to fines.  Specifically:

  • Some jurisdictions required specific language to be in the breach letter
  • One jurisdiction required certified mailing to be merged inline in the document text, as opposed to printed at specific coordinates on a page
  • Several jurisdiction required listing credit counseling agencies that were near the borrower

Requirements

The company’s needs included:

  • Combine data from a legacy mainframe system and a data warehouse
  • Checking military service information from the DOD
  • Limit document creation to business days, with business-defined holidays
  • Delivery of documents to a print / mail vendor
  • Generate certified mail barcodes
  • Track certified mail responses
  • Push the breach letters to an internal document imaging system

Solution

Our customer’s business unit implemented this solution by configuring QBO components, including:

  • A document template, based on a MS Word template, for document layout
  • Collection agencies were geocoded, to enable QBO to provide a list of agencies closest to the borrower
  • A legacy system plugin was created to enable pulling payment data in real time
  • Automated search of DOD database using Quandis Military Search
  • The document suite provided for:
    • generating USPS certified mailing numbers, making them available to the Word template as merge data 
    • creating PDF files based on the MS Word template
    • creating ZIP files containing all the breach letters generated during the day
    • sFTP delivery of the ZIP file to a print / mail vendor’s site
    • writing to the internal imaging system via a plugin
  • The import module monitored the print / mail vendor’s site for delivery confirmation files, updating document records with the delivery date
  • A workflow orchestrated each of the above steps

Results

  • Certified all regulatory and internal compliance requirements for all state and federal regulations had been achieved.
  • Cost reduction of two full time employees as a result of automation of letters.
  • A fully documented audit trail showing compliance with all regulations including electronic copies of all correspondence.  
  • Verification of letters being sent from print vendor.  Round trip data from the print vendor closes the workflow thus insuring production at print vendor.
  • Most importantly, the ability to change processes using rules driven workflows created by business users rather than technical staff.