How Dara is Transforming Modern Compliance in Servicing – VIDEO
As mortgage industry regulations continuously evolve, Team Sagent has completely rewired the way servicers remain compliant. Matt Tully, Chief Compliance and Customer Success Officer and Shane Leonard, Chief Product Officer recently sat down with Michael Moeser of National Mortgage News to explain how Dara is revolutionizing the way servicers embed compliance into every step of their operations.
They open the conversation by explaining that Dara – which was made by servicers for servicers – considers users’ needs from the earliest stages of development, helping to ensure that Dara’s code addresses frequent pain points and simplifies compliance processes. In Matt’s words:
“Rather than keep piling things on top, we’ve built [Dara and compliance] side-by-side… This connection between compliance requirements and servicing requirements allows us to track the function and, more importantly, track the change and make those updates faster than we’re able to do in the legacy stacks we have today.” (5:07-5:29)
Compliance as Core Infrastructure
Dara is built with compliance processes in every line of its code. Dara has nearly 9,000 independent compliance requirements built into its database, ensuring servicers remain compliant at the federal, state, and investor levels. As regulations evolve, Dara can pinpoint exactly what needs to be done, allowing servicers to seamlessly embed new rules into their processes. Matt explains:
“So [when regulatory bodies] update a rule or requirement, our tool [Dara] can actually go out and not only look to see what the change is but compare it to the compliance database and then get informed insights into where in the feature database we’re going to have to make updates as a result.” (10:26-10:49)
AI as an Enhancement, not a Replacement
Dara is backed by a cloud-native, open-API infrastructure, enabling AI to streamline compliance processes at every step. However, humans still play a vital role in keeping servicers’ operations smooth and compliant. As Matt said:
“We’re not relying on AI to just do the work for us, but we are relying on it as a tool that can allow us to more quickly analyze regulatory change and more effectively and efficiently pinpoint where in our system we need to make updates as a result of that change.” (10:54-11:13)
To guarantee consistent compliance, organizations need both deep technical integration and human input. On the technical side, it requires unified data models, workflow orchestration, and real-time visibility. On the human side, it depends on staying closely aligned with regulators and understanding intent behind rule changes. Shane shared:
“We experiment a lot with [AI] without fear because this is the time to do it, and then make sure that we determine at the end that we’re all in agreement, this is the right place, the right time to do that and know ahead of time what can go wrong and then make sure that you put the framework in place to make sure that you know when it’s going to happen.” (18:43-19:08)
The Future of Servicing is Here
Shane and Matt wrapped up the conversation by explaining the inflection point the industry is facing: “adapt or die.” Servicing technology is rapidly evolving, and the most successful servicers need to be equipped with the latest technology. As Shane expressed in his final remarks:
“…[AI] does effectively change the speed at which we can deliver solutions, and you have got to be a part of it or not, and that’s what’s coming. The future’s here, whether we like it or not.” (28:09-28:20)