Mortgage Builder, Southfield, Mich., developer of an innovative mortgage loan origination software (LOS) system, reports that it has recently undergone the new SSAE 16 Type II audit process and has completed the thorough examination successfully. The SSAE 16 is the next generation of SAS (Statements on Auditing Standards) audit, designed to test organizations’ abilities to protect sensitive business data for their clients. The SAS standards are issued by the American Institute of Certified Public Accountants (AICPA), and are a prime concern for lenders that entrust their information and process security to loan origination software (LOS) providers.
The new SSAE 16 Type II audit is the more exacting and thorough version of the new standards, requiring on-site physical verifications of security measures, control objectives and activities by an independent, approved auditor. The audit was performed by SAS 70 CPA of Palm Harbor, Florida.
“The top level SAS audit is not a requirement for LOS systems, but I think it should be,” says Keven Smith, president and CEO of Mortgage Builder. “When you consider the sensitivity of the information handled by the LOS and the exacting tolerances for security required to provide the needed levels of protection for lenders, Mortgage Builder regards passing these audits as a necessity. It is tremendously important for our clients to have confidence in this critical aspect of their business.”
Smith pointed out that his company spends a significant amount of time, money and hard work on the audit process. “It is always a concerted team effort,” he said. “But seeing yet another certification plaque go up on the wall and knowing that we have met every test with flying colors is highly satisfying – and essential to our clients’ security.”