Foreclosurepedia confirmed this morning that the National Association of Mortgage Field Services (NAMFS) was invited to participate in a Summit of sorts pertaining to Background Checks. What remains unclear is whether or not these Background Checks will be deployed against only Contractors. It should be noted that NAMFS has gotten out front with respect to this issue. With that said, I was encouraged about a portion of the NAMFS’ reply,
Regarding data being kept in the United States, you will be pleased to know that keeping data in the United States was also a requirement of NAMFS. To be very clear, no data will be housed or transmitted outside the United States.
Now, we are still attempting to verify the Company whom will be at the helm of this. We believe it to be Aspen Grove Solutions which is a subsidiary of Aspen Ventures LTD out of Ireland. We will confirm this when we have written confirmation.
Aspen Grove has been retained by a major mortgage servicer to develop technology to facilitate and monitor background checks on field service providers.
Surrounding all of this presents several fundamental problems which may or may not ultimately be addressed. First, the National, Regional and Otherwise Unspecified Order Mills have absolutely no need to know the personal information possessed by any firm awarded the Contract to perform Background Checks. It should be a Pass or Fail determination. Second, as this is a private, third party firm which may be a foreign national, there absolutely must be some type of appeal process and the ability to have incorrect information redacted. Equifax, one of the Big Three Credit Reporting Agencies, recently had a multi million dollar verdict handed down against them for erroneous information maintained. Third, there absolutely must be a way for anyone required to submit their information to be able to receive a copy of the information maintained to make an informed challenge to samesaid information. Fourth, the matrix utilized by the Property Preservation Industry; the matrix discussed by NAMFS and others in attendance for the hire/fire clause, absolutely must be made publicly available. On the Fourth Point, this is a Constitutional and Civil Rights issue. Finally, there absolutely must be background checks performed on the employees and owners of the National, Regional and Otherwise Unspecified Order Mills.
Foreclosurepedia currently possesses rap sheets on active employees of the Order Mills. We will publicly post these as well as forward them to the Financial Institutions, the Securities and Exchange Commission (SEC), the Consumer Protection Financial Bureau (CFPB), media outlets and other parties if the Background Check Policy does not apply to the Order Mills. There is no wiggle room on this.
Ultimately, the Background Checks are a good idea. The problem that presents is when these types of systems are developed under the cover of darkness, there is too much danger. For example, if the Financial Institutions are gaining access; we know that Wells Fargo pushed the Aspen Solutions agenda, then this quite possibly violates federal laws. I am encouraged, though, that NAMFS, the Financial Institutions and the Property Preservation Industry as a whole may begin to speak WITH Contractors as opposed to SPEAKING AT Contractors. Without transparency there is no democracy. Without legality there is litigation.
While Background Checks are not going to make anyone happy; NAMFS had no data available as to how much more money this is going to cost and whether or not the BURDEN will be shifted onto the Contractors, they are going to become part of the landscape. Foreclosurepedia feels that unless the Industry wishes to create a Doctrine of Privity, passing the fees on to the Contractor is a quagmire which will be embroiled in litigation. It would be perceived as yet another example of the Industry increasing its profit margin at the expense of the very Contractors it continues to alienate.
What will be the end result? That answer rather lies with the Contractors. By in large, Contractors remain silent on virtually everything publicly. Albeit, there are huge discussions perking on the Social Media threads, no Contractors have actively engaged the Industry nor NAMFS other than Foreclosurepedia. Let your voice be made known! We will willingly post questions on here if they are forwarded to us.