Westcor Introduces Agency Compliance Program to Meet ALTA Best Practices and CFPB Guidance

June 3, 2015

The management of Westcor Land Title Insurance Company understood that the Dodd-Frank Act and establishment of the Consumer Financial Protection Bureau (CFPB) would place an increased emphasis on a lender’s responsibilities for ensuring that third-party vendors are complying with consumer financial laws to reduce the risk of consumer harm. In response to this increased focus, Westcor engaged McGladrey LLP to assist with the evaluation and enhancement of Westcor’s Agency Audit Program to test for compliance with ALTA’s Best Practices Framework.

“We are pleased with the response we have received from the lending community,” said Mike Schefstad, chief financial officer for Westcor. “Lenders appreciate the independence of the program and the confidence in knowing that a Westcor certified title agency is properly monitored. Ultimately, it comes down to protecting the consumer which in turn satisfies the lenders responsibilities to comply with CFPB, and this program does just that.”

Westcor’s Agency Compliance Program has already been accepted by numerous national and local lenders and is representative of ALTA’s encouragement for the development of a broader market for third-party compliance review engagements. With this program, lenders can be satisfied with the independence of the assessment and process. 

 “Satisfying compliance requirements associated with Dodd-Frank has proved challenging for many companies, from both a resource and cost perspective,” said Hilary Marx, a manager in McGladrey’s risk practice. “By utilizing Westcor’s existing resources and processes, we have developed an effective, common-sense, risk-based approach that will help agents respond to Dodd-Frank requirements and provide their lenders and customers with confidence that they have appropriate controls in place to mitigate risk.”

The added benefit of the program is that a lender and the consumer do not have to track multiple certifications, third-party vetting reports or multiple independent reviews. Lenders and consumers can be confident that a certified title agency of Westcor meets the highest standards in the industry while meeting or in most cases exceeding the ALTA Best Practices and guidance from CFPB.

For more information regarding the program or how to become a Westcor certified title agency, contact compliance@wltic.com.

Contact ALTA at 202-296-3671 or communications@alta.org.