Ameriquest Mortgage Company Announces Pilot Program for Collateral Valuation Insurance.

Business Editors

ORANGE, Calif.--(BUSINESS WIRE)--July 7, 2003

Ameriquest Mortgage Co. (Ameriquest) today announced a pilot program in which it will replace traditional appraisals on certain mortgage programs with Collateral Valuation Insurance (CVI), a new appraisal alternative product developed by Fidelity National Information Solutions.

Ameriquest announced that it has signed a Letter of Intent with FNIS under which Ameriquest will use CVI to speed up its collateral valuation process for its first mortgage operations. For the past 90 days, Ameriquest has been using CVI to replace certain appraisals in its efforts to ensure that the most objective valuations underlie its lending decisions. Ameriquest plans on expanding the use of CVI after experiencing substantial improvement in turn-around times and quality of its collateral valuations. Ameriquest is committed to making sure that collateral is objectively valued, to streamlining the mortgage application process and to reducing the turn-around time for appraisals from several weeks to several days.

CVI is the first traditional appraisal replacement that combines automated estimates of value with an inspection of the property and valuation insurance. While Automated Valuation Models (AVMs) have been used extensively in home equity lending and portfolio valuation, their use in the first mortgage segment is significant because FNIS has developed a 100% AVM solution for conforming residential properties in the United States.

The announcement is significant because it is the first time CVI has been used in the Non-Prime market in Ameriquest's endeavor to bring the efficiency of the Prime market to the Non-Prime market. Two other lenders in the Prime market have already adopted the use of CVI to replace appraisals.

CVI platform reduces total appraisal costs and dramatically improves the collateral valuation timeline for mortgage originators. Available on a national basis at a standard price, CVI delivers initial values in just minutes, and complete insured reports in three days or less. CVI insurance coverage is offered through Fidelity National Insurance Co. and is underwritten by a nationally recognized "AA" rated insurer.

About Ameriquest Mortgage Co.

Ameriquest Mortgage Co. was founded in 1979 as Long Beach Savings and Loan. In 1997, it changed its name to Ameriquest Mortgage Co. Ameriquest is a leading originator of non-prime loans and has originated and serviced billions of dollars in mortgage loans.

Ameriquest is approved as a seller/servicer by Fannie Mae and Freddie Mac. The company is also a nonsupervised mortgagee of the U.S. Department of Housing and Urban Development. Ameriquest currently maintains more than 230 local retail offices throughout the country.