Case Study: Virginia Credit Union Adds Value to Members through MCT's Services

We recently had the chance to talk with Caleb Jeppsen, Vice President of Secondary Marketing at Virginia Credit Union, who was hired to improve the profitability of their mortgage division so they could provide added value to their members. This case study was created for mortgage bankers, financial institutions and credit unions seeking to leverage MCT’s hedge advisory services.

In this case study, Mr. Jeppsen explains how MCT’s blend of industry knowledge, customer service, and award-winning software helped him achieve this goal. He also leveraged functionality in Bid Auction Manager, Rapid Commit and the InvestorMatic Program to add hours of efficiency each week. 

Caleb Jeppsen

Vice President of Secondary Marketing at Virginia Credit Union

Mr. Jeppsen has spent roughly 20 years in the secondary markets space working for two credit unions, one mortgage lender and one bank. Most recently, Mr. Jeppsen was hired by Virginia Credit Union to improve the profitability of the mortgage division so they could provide more services to their members.

Featured Quote – “MCT has helped us earn an additional lift over best efforts on every loan we sell. This, along with the earnings from interest holds, has allowed Virginia Credit Union to offer more products, build more branches, provide better service, and create more mortgage loans for our membership.”

  Table of Contents – Virginia Credit Union Case Study

 

Virginia Credit Union: Three Goals for Success

To ensure Virginia Credit Union was successful in their move to mandatory loan sales, MCT provided personal customer service, tools for reducing risk, and leveraged software solutions to drive profitability for their members.

Read three quotes from Caleb Jeppsen about achieving these goals!

Excellent Customer Service 

“I feel like MCT rolled out the red carpet for Virginia Credit Union. I can’t say enough good things…MCT has come through with every single thing I’ve asked for.”

Reduce Risk with Hedging

“Hedging my pipeline is so important to reducing risk.The market can move up and down and either way I know I’m winning.”

Add Value for Members

“MCT exists for the membership. Since working with MCT, we’ve built more branches, provided better service, and create more mortgage loans for our members.”

Virginia Credit Union: Summary of Software & Metrics

The features within Bid Auction manager have enabled Mr. Jeppsen to quickly and easily manage his pipeline. Other tools, like MCT’s Data Writeback Service, drastically reduced data entry errors and improved efficiencies. 

In this section, we will review the most impactful metrics from Virginia Credit Union. 

 

Functionality

“It used to take me 4-6 hours to go on an investor website and make commitments. With MCT’s Bid Auction Manger I can do it all in 15 minutes.”

hours saved per loan sale

Efficiency

“Your data writeback service saves me 10 minutes per loan and writes everything back perfectly to my LOS.”

minutes saved per loan

Profitability Summary

“MCT has helped us earn an additional lift over best efforts on every loan we sell. This, along with the earnings from interest holds, has allowed Virginia Credit Union to offer more products, build more branches, provide better service, and create more mortgage loans for our membership.”

MCT Technology Drives Efficiency & Profitability for Virginia Credit Union

MCT’s suite of software enabled Virginia Credit Union to drastically improve the efficiency of their loan sales while driving profitability for their members. MCTlive!, Bid Auction Manager, Rapid Commit, and the new InvestorMatic program have helped Virginia Credit Union add additional profitability to their mortgage division.

  • Bid Auction Manager (BAM) MCT’s digital whole loan trading platform within MCTlive! that integrates with existing lender and investor processes to increase the speed and security of bid tape management while achieving true best execution.
  • MCTlive’s Rapid Commit  New integrations that automate Fannie Mae and Freddie Mac loan pricing and commitment with intelligent best execution capability. MCT was the first vendor to successfully complete a loan commitment with Freddie Mac’s new API.
  • InvestorMatic Program – certifies correspondent investors on their ability to leverage technology to improve seller profitability, efficiency, and security on their loan sales. The certification process provides a Bronze, Silver, or Gold level certification to correspondent investors buying loans from MCT clients.

Contact us to discover how MCT can increase profitability through mandatory loan delivery.

Full Interview: Virginia Credit Union Leverages MCT to Add Member Value

Read our question / answer style format with the full responses from our conversations with Caleb Jeppsen.

 

How did you begin working with MCT?

“When I moved to Virginia Credit Union, I was tasked with growing their secondary marketing department. Our goal was to improve the profitability of our secondary marketing department so we could bring additional value to our members. A committee of 10-12 people was put together to review presentations from each platform. We brought in 10-12 hedge platforms then quickly narrowed that down to three. 

MCT’s Paul Yarbrough and Rhonda Beck, CMB, came to present about a week before Christmas. As they presented, I watched as they slowly convinced everyone in the room that MCT was the right choice. MCT was the only presenter who knew every answer and didn’t need to call a specialist. Paul and Rhonda met and exceeded every requirement for us. We chose MCT for that reason.”

How has MCT earned your trust over the years?

“I feel like MCT rolled out the red carpet for Virginia Credit Union! I can’t say enough good things about Rhonda and our senior trader. Chris Anderson, Paul Yarbrough and Miguel Nava-Tapia from their data services team did all the work and met every requirement. MCT has come through with every single thing I’ve asked for.

The support from MCT is incredible. I have daily calls with my senior trader. I always know he’s got my back and always makes sure my pipeline is managed well. We’ve had tornadoes, hurricanes, and other situations where I can’t get to a computer. Josh will call me and say, “Caleb we need to hedge”, and he’ll take care of it. I know Josh has my back.”

We’ve had tornadoes, hurricanes, and other situations where I can’t get to a computer. Josh will call me and say, “Caleb we need to hedge”, and he’ll take care of it.

Caleb Jeppsen

Virginia Credit Union

How has MCT helped Virginia Credit Union Add Profitability to their Mortgage Department?

“Virginia Credit Union decided to bring me on to bring additional value to their members. One of the first things I did was bring on MCT and switch Virginia Credit Union from best efforts to mandatory loan sales. Hedging the pipeline is so important to reducing risk. If I was to explain hedging in layman’s terms, I’d say what’s more risky? If you owned a car with insurance or without insurance? That’s what hedging is. The market can move up and down and either way I know we are winning.

In terms of added profitability, MCT helps us do that through mandatory loan sales and interest holds. This has allowed Virginia Credit Union to offer more products, build more branches, provide better service, and create more mortgage loans for our membership.”

How does MCT help Virginia Credit Union bring added value to your members?

We’re able to send bid tapes to 17 investors so we’re always receiving the best price for our loans. This helps us lower our rates for members. Everything we generate goes back to our members.

Since working with MCT, we’ve been able to build more branches, more buildings, provide more service, and create more mortgage loans for our members. We’ve also been able to create more products that didn’t exist before MCT. MCT exists for the membership. They’ve helped us earn more than what we expected and enabled Virginia Credit Union to look good every single day.”

MCT exists for the membership. They’ve helped us earn more than we were expecting when I was brought on.

Caleb Jeppsen

Virginia Credit Union

Has MCT’s Bid Auction Manager helped your loan sale process?

“MCT’s software has made it a night and day difference. The time consumption before and efficiency gains with MCT has been dramatic. It used to take 4-6 hours to go on an investor website and make commitments. With MCT’s Bid Auction Manger I can do it all in 15 minutes. On top of that, MCT’s data writeback service saves 10 minutes per loan and writes everything back perfectly to our LOS.”

 

FURTHER READING – Recent Innovations & Programs by MCT

MCT has recently launched new software and content to help clients improve profitability and efficiency. Learn more about these recent innovations below.

Has MCT referred investors, broker-dealers, or anyone else to Virginia Credit Union?

“MCT has referred probably 3 or 4 broker-dealers. If I need a broker-dealer I’ll ask my senior trader what he’s seeing and why. There’s over 150 investors across the country so we have a formula. If you’re not in MCT’s top 10 for FHA, Govy, VA, or USDA we won’t sign you. I don’t have to deal with lunches and quotes and calls anymore.

Networking with Rhonda and at MCT Exchange has also been wonderful. She’ll introduce me to someone in my network so I can bounce questions off them. That’s the biggest reason I go to MCT Exchange every year.

Software Spotlight – MCT’s AutoShadow Allows Anonymized Pricing on Bid Tapes

Receive shadow prices for your bid tapes from investors with whom you’re not yet approved. Your bid tapes are anonymized and scrubbed of all NPI data. AutoShadow can be completed daily or live, and works best in conjunction with AutoBid.

Learn more about AutoShadow and the InvestorMatic Program. 

 

How is MCT’s InvestorMatic Program affecting your relationship with investors?

“The sophistication of buyers is huge for me. And in fact, some of my favorites are only my favorites because of how they work with MCT. I’ll hit commit with MCT’s Gold tiered investors and the confirmation number flashes right back before you can even go to the commitment tracker screen! That’s gold for me.

For example, when I commit in the morning I want to commit at 8:15 so at 8:30 I can get post close notices to start shipping. If I have to wait 3 hours for one confirmation number it slows my whole team down.

Sometimes a certain investor will have the winning bid but I won’t choose them because their processes are so tedious.  That’s how much these outdated processes slow me down. I’m really hoping some of these investors will leverage MCT’s software so I can improve my profitability and efficiency.”

 

Case Study Summary

MCT’s suite of software enabled Virginia Credit Union to drastically improve the efficiency of their loan sales while driving profitability for their members. MCTlive!, Bid Auction Manager, Rapid Commit, and the new InvestorMatic program have helped Virginia Credit Union add additional profitability to their mortgage division.  

  • Bid Auction Manager (BAM) – MCT’s digital whole loan trading platform within MCTlive! that integrates with existing lender and investor processes to increase the speed and security of bid tape management while achieving true best execution.
  • MCTlive’s Rapid Commit  New integrations that automate Fannie Mae and Freddie Mac loan pricing and commitment with intelligent best execution capability. MCT was the first vendor to successfully complete a loan commitment with Freddie Mac’s new API.
  • InvestorMatic Program – certifies correspondent investors on their ability to leverage technology to improve seller profitability, efficiency, and security on their loan sales. The certification process provides a Bronze, Silver, or Gold level certification to correspondent investors buying loans from MCT clients. 

 

Contact us to discover how MCT can increase profitability through mandatory loan delivery.

Schedule a demo or request more information about MCT’s services!

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