We want to give all lenders access to this technology-not just those large lenders who can afford their own systems, but small lenders as well. Automated underwriting also gives us new opportunities to help you serve your customers. We used to think that higher levels of mortgage insurance coverage were necessary to protect us. Today good risk assessment tools give us other options. They make it possible for us to provide you with flexible mortgage insurance that offers more choices for your customers.
Borrowers pay less and afford more.
For some months, we have been purchasing Alternative A and A minus loans. That not only gives you more alternatives, it makes it easier for you to qualify more borrowers and it reduces costs for homebuyers. Last spring we took a significant step forward in expanding access to this technology by making Loan Prospector available on the Internet. LP on the Internet not only makes automated underwriting available to the broadest possible number of lenders, it brings qualifying decisions closer to the point of sale. Lenders have welcomed this.