Module 1: Introduction

Loan Setup is the stage of the mortgage lending process in which a Jr. Processor starts the income verification process, sets up the loan file in Encompass for the Processor, verifies the client’s intent to proceed (ITP), confirms disclosures have been sent or signed compliantly, and completes third-party order outs such as title, appraisal, and flood certificate request.

In Encompass, the system tracks the progress of each loan file by using milestones. Each milestone contains a set of tasks that must be completed by a loan team member before the milestone can be marked as complete. The Loan Setup and Loan Setup Queue milestones are the third step in the file progress after the file gets started and the application is completed. After Loan Setup, the file moves on to the processing stage. The Jr. Processor oversees completing the Loan Setup milestone and following up on the tasks that were started during this stage but remain incomplete.