Flexibility of Provider Leads Temple-Inland Mortgage Corporation to License Fiserv MortgageServ Servicing System

Business Wire, Jan 18, 2001

Business Editors

BROOKFIELD, Wis.--(BUSINESS WIRE)--Jan. 18, 2001

Fiserv, Inc. (Nasdaq: FISV) announced today that Temple-Inland Mortgage Corporation has contracted to convert its mortgage servicing operation to the Fiserv MortgageServ platform.

Temple-Inland Mortgage Corporation, headquartered in Austin, Texas, is a full-service mortgage bank that arranges financing of single-family mortgages through a network of 58 branch offices and services the mortgages of 230,000 customers.

"We are pleased to count Temple-Inland among our MortgageServ clients. Fiserv was able to customize a strategic partnership with Temple-Inland, combining software and technology development expertise," said Leslie M. Muma, Fiserv President and Chief Executive Officer. "The result will be an ongoing, dynamic relationship that will fortify Temple-Inland's strength in the Mortgage market."

Temple-Inland Mortgage Corporation's loan servicing function had operated in a service bureau with another software vendor. After analyzing Temple-Inland's operational needs and resources, Fiserv suggested blending software licensing with contracted technical support.

"Fiserv offered us a blended solution that is really a hybrid of licensing and outsourcing," said Joe Farr, President of Temple-Inland Mortgage Corporation. "We will license Fiserv's MortgageServ to run on our box, saving us click charges and CPU costs. And we will also depend on Fiserv for technical support so that we can concentrate on servicing our customers while Fiserv handles the technology in the background."

"Fiserv brings a lot to the table in terms of Web-centric, real-time servicing. The Internet revolution is gaining momentum in banking and promises increased efficiency. Because the MortgageServ system constantly updates account information with each transaction, when our customers call in or, better yet, make online inquiries about their balances, they will be made aware of up-to-the-second changes in their account," said John Harris, Temple-Inland's Executive Vice President of Loan Administration. "This exemplifies how real-time technology will bring value to Temple-Inland and to our customers. The expediency of an online, real time system will deliver exceptional efficiencies to us and better service to our customers."

In the past year, Fiserv fielded more requests from companies exploring outsourcing for their mortgage servicing systems. The requests are due to the cost to service loans, the cost to maintain a technical staff and the cost to keep up with technology.

"Margins are getting tighter, so everyone is searching for a way that will reduce the cost of their servicing operation. Temple-Inland has been running in a service bureau environment. We presented them with more cost-effective options for outsourcing as well as licensing. They decided on something in between. Fiserv offered Temple-Inland a customized MortgageServ solution that makes sense for their business. That is what we are in business to do," said Sadu Thinakal, President of Fiserv Mortgage Servicing Systems.

In addition to saving on processing costs, the MortgageServ system will provide Temple-Inland with other economies. The MortgageServ system's browser-based, real-time platform is intuitive and easy to learn, alleviating the need for customer service representatives to have extensive mortgage experience. The system is exceptions-based to prevent missing entries. Mistakes are caught as they happen, eliminating time-intensive, day-after corrections of rejected transactions.

"Temple-Inland is committed to reducing their cost to service, especially in the default area. The networked default module within the MortgageServ core system connects all participants in the default process, enabling them to complete their work and actually update loan level information, freeing servicers from duplicating default data entry. The MortgageServ system will enable Temple-Inland managers to send work requests via the Internet to attorneys and generate reports on progress. The system streamlines and automates shared-work processes, transforming the way the industry will handle default," said Ted Morse, Senior Vice President of Business Development for Fiserv Mortgage Servicing Systems.

Temple-Inland Mortgage Corporation is headquartered in Austin, Texas, and has over 700 employees. It is a subsidiary of Guaranty Federal Bank, which is a subsidiary of Temple-Inland, Inc. Temple-Inland Inc., is a holding company with major interests in packaging and paper, building products, timber and timberlands, and financial services. Headquartered in Diboll, Texas, Temple-Inland Inc. is a Fortune 500 company with revenues of approximately $3.5 billion. The company's stock (TIN) is traded on the New York and Pacific stock exchanges.

Fiserv is committed to providing the technology that will enhance the workflow and profitability of mortgage servicers. The fully integrated, Web-enabled MortgageServ(TM) is a total solution for mortgage servicing and management. Its real-time, browser-based Mortgage Servicing System provides immediate transaction updates, task tracking, work queuing, private label sub-servicing and sub-prime functionality. MortgageServ connects all participants in default and servicing processes via the Internet for ultimate work sharing. Borrowers are also connected via the Internet to access their accounts. The total MortgageServ solution integrates the value-added technologies of RF Spectrum risk-assessment tools; the InformEnt(TM) Mortgage data warehouse; ImageSoft(TM) Mortgage document imaging and archiving; and the mortgage specific, in-bound customer service and out-bound call center, Mortgage Call(TM). A product-specific site can be found on the Web at www.mortgageserv.com.