1. MISMO / eMortgage Update
Harry Gardner
President, SigniaDocs, Inc.
Chair, MISMO Residential Governance Committee
November 9, 2011

2. MISMO Standards
• Logical Data Dictionary (LDD)
– Over 5,000 data points and enumerations (lists of
values), with business definitions agreed-upon by
industry participants
– Workgroups vet data points and definitions they need
for their business exchanges
– Core Data Structures reviews proposed data points
against existing LDD
• Version 3 -- XML Schema
– Reference Model sets the structure and relationships
for all those data points
– Extensible – business partners can add their own
custom data 2

3. MISMO Structure
Board of Directors
Residential Governance
Core Data Structures Architecture WG
Council of Chairs
Process-Area Workgroups: Specialized Workgroups:
Origination, Secondary, Servicing Doc Classification, eMortgage,
Tax, Title, Credit, Flood, MI Business Rules, Interface Arch.
Development Groups
3

4. Standards Development
• IPR policy allows competitors to come together and
develop data standards that benefit everyone
• Compete on services and technology, not data
formats
• Reference Model ensures common XML structure
• Conf Calls – Workgroups, Development Groups
• Trimester Meetings – January, May, September
• Standards are constantly being expanded to meet
real-world needs of the industry
4

5. Standards vs. Specifications
• MISMO standards
– Openly created and openly available
– Developed by industry consensus
– Common language
– Extensible
• Regulatory reporting specifications
– Usually more “closed”
– Created by regulators or private industry groups
– Usually not aligned with existing open standards
– Data quality is compromised
– Cost impact
5

6. Industry Adoption
• Early days – mostly front-end services: tax,
title, flood, MI – request/response
transactions
• Extended into Origination, Underwriting,
Secondary delivery and Servicing setup
• Now mandated by FHFA for Fannie & Freddie:
• UMDP: Uniform Mortgage Data Program
– ULDD: Uniform Loan Delivery Dataset
– UAD: Uniform Appraisal Dataset
6

7. SMART Doc V3
• MISMO “Document” concept, common
throughout all workgroups
• Addresses shortcomings of SMART Doc V 1.02
• Flexible structure
• Any VIEW format (PDF, XHTML, Word…) can
be incorporated with XML data
• Working with MBA, MERS, Fannie Mae and
Freddie Mac to coordinate and plan transition
to SMART Doc V3 7

8. SMART Doc V3 Simplified Diagram
Document
Classification
Deal Sets
Map
…
Document Views …
…
Signatories
Audit Trail
System
Signatures

9. Questions?
Harry Gardner
202-409-5903
hgardner@signiadocs.com
9

10. Real-World Application of
Electronic Signatures
Jeff Knott
Director, Product Management
Equifax
November 9, 2011

11. Today’s Roadmap
• Market Challenges
• Multiple Use Cases
• eSignature Case Study
– IRS Form 4506-T
– Market Problem
– Proof of Concept
– Program Objectives
– Value Proposition
• Q&A

12. Market Challenges
• Fraud
• Compliance
– Laws and Regulations
– Internal Policy
• Security
– System Access
– User Authentication
• Process Adoption

13. Multiple Use Cases
• Mortgage
Qualification
• Credentialing
• Background Investigation
Risk Customer • Consumer Finance
Mitigation Acquisition
• Accounts Receivable
• Government Programs
• Property Management
Quality
Control
Service
Renewal
• Brokerage Services
• Insurance
Customer Lifecycle
• And more . . .

14. Acceptance of eSignature on IRS Form 4506-T
CASE STUDY

15. IRS Income Verification Express
Service (IVES) Program
• Personal Tax, Business Tax, and Wage Statements
• Registered IVES program participants; authorized 3rd parties
• Documents retrieved directly from the IRS
• Consent-based service
• IRS form (4506-T, 4506-EZ, or 4506) must be signed within 120 days
Client IVES Participant IRS Service Center
Order
Form 4506-T Form 4506-T
Tax Document Tax Document
Acquisition & Quality Check Tax Transcript
Decisioning Process & Fulfillment Fulfillment Process
15

16. IRS Form 4506-T
Taxpayer’s SSN
Previous Address
Enter Form Type
Check box for 1040
Check box for W2, 1099
Enter Years Requested
Date within 120 days
Signature

17. Market Problem
• Traditionally the IRS Return and Income Verification Services
(RAIVS) team does not allow the use of electronic signature
on its Form 4506-T as an alternative to ink signatures.
• Electronic commerce is enjoying rapid adoption across many
sectors, in both business and government transactions.
• Methods for initiating, completing and recording electronic
signatures and records are expanding as demand increases,
with many technologies to choose from in the market.
• Due to current economic conditions, especially in the
mortgage industry, and increased regulations, this type of
electronic processing can be leveraged to solve a widely
recognized efficiency concern.

18. Industry Leadership
Equifax & DocuSign
• Championing industry enhancements
• Defining and aligning policies, standards, and rules
• Identifying data stakeholders and their goals
• Communicating with accountability to stakeholders
• Providing mechanisms for review and issue resolution
Policy
Data Quality
&
Strategy Management

19. Proof of Concept
• Equifax and DocuSign have partnered with the IRS to
initiate a small-scale, limited-scope experiment
involving the submission of electronically signed
forms to the IRS through a trusted third party
• This pilot would enhance the IVES program by
allowing either a “wet” ink or electronic signature to
be used by taxpayers on a Form 4506-T

20. IRS Requirements
• Support the electronic filing goals of the IRS Restructuring and Reform Act
of 1998 (RRA 98) by enabling electronic signature technologies
• Comply with the requirements of Section 508 of the Rehabilitation Act
• Protect citizen rights and privacy, limit burden, and promote broad
acceptance of electronic commerce
• Use technologies and processes that facilitate electronic filing, payment,
and communication without relying on paper-based signatures
• Replace paper transactions with electronic methods that are more
accurate and less expensive to process
• Have security appropriate for the level of risk
• Are based as much as practicable on established laws and existing
frameworks, including time-tested industry practices

21. eSignature Objectives
• Require no changes to IRS policy or procedure
• Require no changes to trusted third party relationships
• Test the effect of electronic signing on the Taxpayer
experience
• Improve Taxpayer privacy over current levels
• Reduce 4506-T rejection rates from current IRS levels
• Improve data integrity and security
• Test the ability of electronic processing to solve a widely
recognized efficiency concern within the IRS

22. Value Proposition
• Electronic signature
acceptance by the IRS on
Form 4506-T:
– Promotes use of tax
transcripts
– Reduces lost paperwork
– Minimizes signature fraud
– Streamlines processes
– Lowers costs

23. Questions and Answers
Thank you.