Ginnie Mae will soon accept electronic applications from prospective issuers electronically, the company announced Wednesday.
Beginning September 1, 2014, applicants must submit issuer applications via Ginnie Mae’s electronic Application Connection portal, moving away from the paper-based application process of the past. Paper applications will no longer be accepted after July 31, the company said.
Applicants can access the portal via Ginnie Mae’s website, which also contains resources for issuer-hopefuls including online courses “Ginnie Mae 101” and “Applying to Ginnie Mae.”
“We want to do everything that we can to ensure that our process is smooth, efficient and responsive for all parties,” said Ginnie Mae President Ted Tozer. “This includes creating a more efficient application process, becoming more responsive to applicant concerns and helping prospective Issuers clearly understand our issuer eligibility criteria and what it means to become a participant in our program.”
Ginnie Mae joins other agencies, including the Department of Housing and Urban Development that are streamlining their operations by eliminating paper. Earlier this year, HUD announced it is working toward e-signatures for mortgage applicants across its single-family loan programs.
In addition to saving paper, Ginnie Mae expects the process to become more open to applicants as they move online. Once an applicant has registered with Ginnie Mae, the applicant will have 30 day to complete the application.
“This new process, which will also allow applicants to check their application status online, will make the process more transparent,” Tozer said.
Written by Elizabeth Ecker