Case Study: Annual HMDA Scrub

Big Picture

Annual Home Mortgage Disclosure Act (“HMDA”) filing is challenging for all institutions, but it can be especially difficult for those with limited volumes of HMDA-reportable loans and a small compliance staff. Regulatory requirements, however, do not account for these operational hurdles and all organizations are held equal from a data quality perspective. With error thresholds that only go as high as ten percent for small filers, there is little room for error.

Annual HMDA Scrub

Client Scenario

A federal savings bank, affiliated with ACG, ACIA, and ACS, lacked the internal staff to conduct its HMDA data quality review. Given the small volume of HMDA-reportable transactions on the bank’s Loan Application Register (“LAR”), the bank needed a trusted partner to ensure that the data was accurate prior to filing.

Asurity Solutions

Asurity Advisors partnered with the bank to provide HMDA review services.  Asurity leveraged RiskExec software, a powerful HMDA data scrubbing tool, to analyze the bank’s applicable loan data. Throughout 2023, Asurity performed quarterly reviews of roughly 125 records, as well as edit checks, geocoding services, and a quality control review to ensure overall data accuracy.  Beyond data scrubbing, Asurity Advisors also assisted the bank in preparing its LAR for the annual submission to regulatory agencies.  By outsourcing its HMDA review to Asurity Advisors, the bank successfully achieved enhanced efficiency, improved accuracy, and a timely filing.