A system that will help enlighten approved issuers about their performance is being implemented by the Government National Mortgage Association.
The Washington-based company said Tuesday that it is launching a risk-management tool for its issuers early this year.
In addition to measuring issuer performance against Ginnie Mae program standards, the tool will also measure performance against other issuers.
Dubbed the
Issuer Operational Performance Profile, the tool uses a scorecard to gauge operational and default performance against peers and Ginnie program expectations.
The performance is based on a pre-determined set of metrics and gives Ginnie a basis for providing constructive feedback to issuers.
With the tool, issuers for the government-owned corporation can identify areas that need improvement and make adjustments.
It also will
help drive internal consistency in monitoring the business activities across the broader population of issuers.
“The new IOPP tool, provides issuers with a framework and methodology where they can gauge their effectiveness … The launch of the IOPP will help Ginnie Mae continue to ensure that a safe, effective, and government-backed channel for the flow of capital for U.S. mortgages exists, reducing risk to the taxpayer and providing much needed capital for the government,” a statement said.
A resource page for the new tool is online at www.ginniemae.gov/doing_business_with_ginniemae/issuer_resources/Pages/iopp.aspx.
