FHLBank Atlanta and Truliant Federal Credit Union announce transfer of first eNote mortgage
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ATLANTA, April 6, 2021 (GLOBE NEWSWIRE) – The Federal Home Loan Bank of Atlanta (FHLBank Atlanta) and the Truliant Federal Credit Union (Truliant) today announced that Truliant has become the first financial institution in the Southeast to complete a transfer of a promissory note (eNote) to FHLBank Atlanta. The digital transaction was completed on March 26 during a video conference using Truliant’s DocMagic eVault and Electronic Mortgage Registration Systems (MERS) electronic delivery system.
The transfer was made as part of FHLBank Atlanta’s eNote pilot program, which aims to test the infrastructure necessary to allow a limited number of FHLBank Atlanta members to claim eNotes as collateral. ENotes contain the same information as a traditional mortgage paper note, but are created, signed and digitally stored in an eVault with an anti-tampering seal to secure and authenticate the document. For the transfer to be efficient, Truliant has met a series of standards relating to electronic signatures, eNote documentation, eClosings, eRegistry requirements, eNote vault requirements and maintenance system requirements. These standards reflect all basic requirements released by the 11 Federal Mortgage Banks in early 2020. Since 2017, the Federal Mortgage Banks have been working together to develop the many components needed to enable their individual members to engage in eNotes and they are in various stages of development. acceptance of eNotes as a guarantee. The transfer of Truliant’s first eNote marks the launch of FHLBank Atlanta’s pilot program to accept eNotes.
“The transfer of this eNote is an important milestone for FHLBank Atlanta,” said Rob Kovach, chief credit officer of FHLBank Atlanta. “Interest in the possibility of pledging eNotes as collateral continues to grow among our members and this initial transfer demonstrates that we now have the capacity to meet this growing demand. We appreciate Truliant for partnering with us to complete this transaction and create a path for more members to start transferring eNotes at the end of our pilot program. “
An eNote is a unique, unique, unchanged and digital version of the promissory note that must meet the requirements of electronic transactions laws. ENotes are the product of the rapidly growing electronic mortgage loan closing process, a faster and safer way for consumers to close their loans. eClosings helps lenders streamline workflows and gain efficiency by removing manual steps from the closing process, helping them process loans faster.
“This is the culmination of years of work by the State of North Carolina, FHLBank Atlanta and a dedicated team at Truliant,” said Todd Hall, President and CEO of Truliant. “Truliant completed its first end-to-end eClosing on March 27 of last year. So literally a year later we are the first member to deliver an eNote to FHLBank Atlanta. This final digital step makes the home buying experience faster, more accurate and more secure. “
When a fence is complete, the eNote is tamper-proof and registered with the MERS eRegistry system, which also shows the location of the authoritative copy. ENotes cannot be edited without the change being recorded on a digital audit trail, and the note cannot be lost.
About the Federal Home Loan Bank of Atlanta
FHLBank Atlanta offers competitively priced financing, community development grants, and other banking services to help member financial institutions make affordable mortgages and provide economic development credit to neighborhoods and communities. The members of the Bank – its shareholders and customers – are commercial banks, credit unions, savings institutions, community development financial institutions, and insurance companies located in Alabama, Florida, Georgia, in Maryland, North Carolina, South Carolina, Virginia and the District of Columbia. . FHLBank Atlanta is one of 11 district banks in the Federal Home Loan System. Since 1990, the FHLBanks have provided approximately $ 6.6 billion in affordable housing program funds, helping more than 957,000 households.
For more information, visit our website at www.fhlbatl.com.
About Truliant Federal Credit Union
Truliant is a mission-driven, non-profit financial institution that promises to always have the best interests of its member-owners at heart. It improves lives by providing financial advice and affordable financial services. Truliant was licensed in 1952 and now serves over 270,000 members. Truliant has more than 30 member financial centers in North Carolina, South Carolina and Virginia.
CONTACT: Peter E. Garuccio
Federal Home Loan Bank of Atlanta