(Effective as of: July 19, 2017)
Modex, Inc. (“Modex”) is a data-driven mortgage exchange that matches loan production with loan fulfillment.
Modex uses a variety of different sources to build profiles of both Mortgage Loan Officers (“LOs”) and the banks, mortgage banks, and mortgage brokerage firms (“Employers”) that employ them.
LOs may sign up and claim their profiles to become a Modex Member. After doing so they can manage their profile by making certain changes. Under their control, LOs may choose to enter a recruiting process conducted by Modex that allows Employers to view their profiles anonymously. If mutually agreeable, Modex will support an Employer’s hiring process on behalf of the LO for a placement fee.Modex is a free service to LOs
If LOs choose to engage Employers and subsequently hired, they understand that Modex will be entitled to a placement fee paid by their new prospective Employer with Modex acting as their agent representative.Modex is a fee-based recruiting service to Employers: (1) Subscription Fee + (2) Success-based Placement Fee
An Employer may sign up and create a Recruiter account to use Modex for its internal recruiting purposes. The monthly subscription fee for Employers to use Modex is $10,000 per month.
In addition, LOs may decide to “flip the switch” within their account profile on Modex to test the market. This allows Modex to anonymously run a process for LOs and connect them to an Employer that matches the criteria sought by both parties. In these instances, Modex will present to Employers, LO candidates who are seeking to make a change in employment.
If an Employer chooses to engage an LO on Modex who has already entered the anonymous recruiting process as indicated by the “on switch” within their account profile and the Employer subsequently hires that LO, the Employer pays a success-based fee to Modex equal to 10 basis points (“10 BPS”) multiplied by the LO’s last 12 months of loan originations. For example, if the LO directly originated $12 million of loans over the past 12 months, the Employer would pay Modex a Placement Fee of $12,000 [$12,000,000 x 0.001 = $12,000].
(Last updated: August 29, 2017)