About Us
MMC Enterprises provides robust and flexible business solutions for the loan servicing industry. Our focus is to provide technologies that compliment existing loan servicing systems. We provide leading edge products that are designed to improve customer service while offering cost savings, increased efficiency and enhanced connectivity.
Our mission is twofold:
(1) We focus on delivering innovative, reliable technology that helps you improve your business operations and provide better service to your customers.
(2) Our objective is to provide a high level of support to our clients. This means that we work closely with you to tailor solutions that fit with your business model and provide training and technical support for your staff so you can get the most out of your system.
MMC Enterprises ("MMC") was founded in 2002 and started working with a local Seattle Mortgage Servicer on the development of the MMC ACH Bi-weekly Payment System. Later that year MMC entered into a project with a Little Rock Mortgage Servicer to create the MMC Cashbook Reconciliation System. That company began running the system live in December, 2002. Like many of MMC's customers both companies eventually licensed both products and continue using them to this day.
MMC ACH Bi-Weekly Payment System
The MMC ACH Bi-Weekly Payment System offers a number of advantages to both the borrower and the lender/servicer - and it is truly a beneficial program for both.
System Implementation & Training
The MMC ACH Bi-weekly Payment System drafts payments from a borrower’s checking or savings account on a bi-weekly basis and applies them to the loan on a monthly basis. Since the monthly payment is divided in half and drafted 26 times each year, there are two half payments applied each year as additional principal. On a thirty year mortgage, this will shorten the life of the loan by five to six years saving the borrower many thousands of dollars in interest.
Not only does the bi-weekly program benefit the borrower, the fee income associated with the program can provide substantial revenue for the servicer. Typically, the borrower is charged a setup fee and a draft fee on each payment. Also, the servicer has “float” on the funds held until the principal reductions are made. Not only will this revenue quickly repay the software cost, it will provide an on-going income steam while the loan is serviced.
All your loans can still be sold to investors that require monthly remittances (such as Fannie Mae and Freddie Mac) although the payments will be collected from the borrowers every two weeks.
The MMC software manages the payments and transfers the funds each month through the lockbox import into to the loan servicing system.
The MMC Bi-Weekly Payment System is designed for easy installation. As a web-based application all the software is installed on your database and web servers. The software will then be used by the servicing staff to monitor the bi-weekly payments and to transfer data, using the automated imports and exports, into to the loan servicing system. As part of the base price, MMC offers streamlined implementation program complimented by an internet training program. If on-site implementation and training is desired, it can typically be completed in a single day and is charged at a daily rate plus the cost of travel.
The MMC service doesn’t end after the initial implementation. Full-service technical and analytical support is available on an ongoing basis to assist the company in getting the most out of the software. Whether you need assistance for your IT staff to configure and run the system or your servicing staff to help with your borrowers/members in getting the most out of the system, MMC Enterprises works with your company to meet your goals.
MMC can assist your company in soliciting borrowers to participate in the bi-weekly program. Not only can this payment option be offered to new borrowers, with amortization schedules generated by the system to show the projected savings, but letters can also be prepared for existing customers to encourage them to convert to the bi-weekly payment program. Implementing the bi-weekly payment option allows a loan servicer to increase the amount of revenue generated by the existing loan portfolio.
The MMC ACH Bi-weekly Payment System utilizes a web-based user interface that runs on a web server. The database is a Microsoft SQL Server database that runs on a database server. These may be the same physical server but normally there are two servers. No software is installed on the local user workstations.
Database Server system
Web Server system
Client system(s):
Windows is a registered trademark of Microsoft Corporation in the United States and other countries.
What advantages does the MMC ACH Bi-weekly Payment System offer my customer?
When a loan is converted to a bi-weekly payment loan, there are 26 partial payments charged to the borrowers account over a year. Since that means one additional payment a year is made, it is applied to the loan principal and subsequently reduces the interest over the life of the loan as well as the loan term. On a thirty year mortgage, the term is reduced from 5-6 years. Although the borrower may be charged a set-up fee and bi-monthly draft fee, the savings still far exceed the costs that they incur. The bi-weekly program is truly a win-win situation for both the borrower and the lender.
How does the MMC ACH Bi-weekly Payment System produce revenue for our company?
There are three sources of revenue from the bi-weekly program: set up fees, draft fees and float. When borrowers agree to participate in the program, they are charged a set up fee (typically from $200 to $500). Each time their account is drafted, they would also be charged a draft fee, (normally between $2.50 and $4.50). In addition, the lender receives income from the float on the funds being held until the principal reductions are made either once or twice a year. A sample income calculation spreadsheet is included to provide a framework for calculating the potential earnings from the bi-weekly program.
How does the MMC ACH Bi-weekly Payment System interact with the loan servicing system?
The software works independently from the loan servicing system but regularly collects loan information and transfers payment information through imports and exports. Loan solicitation data and set up information is extracted from the servicing system through a custom export or query. Payment information is transferred to the loan servicing system through a lockbox import. These imports and exports are automated so that little manual intervention is required.
How does the MMC ACH Bi-weekly Payment System interact with the ACH system?
The system creates an ACH file on a bi-weekly basis in a format that conforms to the national standard. This file is then sent electronically to a financial institution or independent ACH processor so that the borrower accounts can be debited and the funds deposited with the servicer.
The MMC Cashbook Reconciliation System provides enhanced banking and investor reconciliation functionality for your D+H Servicing Director® system.
Servicing Director is a registered trademark of D+H.
The MMC Cashbook Reconciliation System ("Cashbook") provides enhanced banking and reconciliation features to your loan servicing system. The web-based Cashbook System streamlines your daily processes and provides your company with advanced reconciliation tools. Financial transactions posted in your servicing system are extracted nightly (or as needed) into the Cashbook system's database. Reports and checks are made available for printing and exporting. Transaction registers are maintained by bank account. Cleared check information may be imported from your primary financial institution's banking system. Bank account reconciliation is streamlined and provides information as to any reconciling differences. Investor custodial accounts are supported by the Cashbook Reconciliation Statement. The on-line version of the statement provides the ability to drill-down into all monetary categories and reported out-of-balance differences.
Database Server
Web Server
Client
Windows is a registered trademark of Microsoft Corporation in the United States and other countries.
The MMC service doesn’t end after the initial implementation. Full-service technical and analytical support is available on an ongoing basis to assist the company in getting the most out of the software.
What is a "Cashbook"?
Servicers manage a number of bank accounts for investors as well as for their own corporate funds. Each bank account contains specific types of funds such as escrow or principal and interest. Depending upon the type of funds in the account, the account can be reconciled in multiple ways. Additionally, you may have funds co-mingled for multiple investors or types of funds within a bank account. A "Cashook" is a management tool to help you track and reconcile these accounts.
Can activity that has cleared the bank be imported to the system?
Yes. You can import cleared checks and deposits into the MMC Cashbook Reconciliation System. This functionality is very valuable in that it can save many hours of manual reconciliation.
Can daily activity be exported to my bank for processing?
Yes. Daily "funds transfer" activity can be exported to your bank for automatic uploading. This can be accomplished using a "custom format" required by your bank or by the standard NACHA format. Also, daily check activity can be exported to your bank. Sometimes called a "Positive Pay" file, this export instructs your bank as to the checks that it may accept for payment.
Can the system print logos, signatures, and MICR encoding on the checks?
Yes. All of these features can be supported. For MICR encoding you need to obtain a MICR font.
MMC Enterprises, LLC
915 291st Ave NE
Carnation, WA 98014
Email: Sales@MMCEnterprises.com
Web: www.mmcenterprises.com
Sales: (425) 333-4278
Fax: (866) 632-1341