Household Picks Fiserv's Servicing Technology for Subprime Portfolio.

Household International's mortgage services business has decided to use the MortgageServ loan automation platform to service loans, citing its suitability for nonconforming mortgage loans as a key factor in the choice.

Household, a major subprime and home equity lender based in Illinois, chose the system because of the similarity and compatibility with its own technology, Fiserv's focus on customer service, and its dedication to nonprime mortgage lending, the companies said in a news release issued by Fiserv.

"Household wanted a partner that is focused on meeting the special needs of nonprime servicing," said Household chief information officer Ken Harvey. "Our due diligence pointed to Fiserv and the MortgageServ product. MortgageServ offers the advantages of a browser-based, Web-centric operation that includes immediate information sharing and automated workflow."

Fiserv said the architecture of Mortgage Serv allows Household to continue to adapt the product to Household's specific needs. Household will move from an overnight batch processing system to the real-time Mortgage Serv platform during the third quarter of this year, the companies said.

Gregory Gibson, chief operating officer of Household's mortgage services unit, said the switch will benefit employees.

"We expect real-time processing to improve our overall operating efficiencies and provide better delinquency management tools that will begin to deliver operating benefits in 2002 and continue into the future."

Fiserv said MortgageServ is "highly customizable and flexible." The software allows for the creation of different servicing parameters for each distinct loan product or characteristic, Fiserv said.