What ICE’s Encompass bomb means for the mortgage industry
ICE mortgage technology will retire legacy integrations for its flagship Encompass platform on October 31, 2025, modernizing the mortgage market even if some suppliers have to kick and scream.
In an email to partners on Tuesday, ICE said it will close the Encompass SDK (Software Development Kit) on the same day the program’s Technology Partner Network, Total Quality Loan Services, PSDK and ePass are terminated.
In addition, ICE forces companies to Encompass the Partner Network Including development partner Connectwhich use a more secure, cloud-based open application programming interface (API) structure that launched in 2021.
“We had almost 400 million calls through Developer Connect in the last week, and that represents our traffic from lenders and partners, plus 80 million webhook notifications,” Amy Cross, ICE’s director of API platform, told me. HousingWire. “So we’re seeing steady and significant growth, and this is the platform we’ve invested in for ourselves.”
Cross said that from a lender perspective, it will give them a chance to assess their suppliers’ tech stack and start troubleshooting. ICE has conducted trend analysis on how lenders are using both SDK and API. The largest SDK user has reduced its dependency by almost 50%, Cross said, steadily reducing the number of plugins from more than 100 to less than 60.
Cross noted that it is “not realistic” to expect all suppliers on SDK to meet the October 31, 2025 deadline. ICE hosts webinars and offers a variety of resources to get lenders and suppliers on track to be fully API-based. Those who don’t meet the deadline can still use the SDK through Extended Access, although fees will apply.
Rumors that ICE would discontinue the SDK have been circulating for years, but ICE said no vendor or lender should be surprised by the announcement.
With a full migration to the API platforms, lenders should benefit from improved speeds, better security and less friction with suppliers, says Matthew VanFossen, who leads Absolute home mortgage Corp. And Mortgage automation technologies (which is not SDK based).
“It’s a more modernized integration solution, and what it essentially does is standardize the way that more than 400 third-party vendors talk to the system,” VanFossen said. “And moving all suppliers here will really accelerate the lender’s platform, so this is great for lenders.”
VanFossen noted that this does pose a risk to some older technology vendors who haven’t made the investment, meaning they rolled the dice and bet that ICE wouldn’t discontinue the SDK.
“Lenders will assess their tech stack and message their vendors asking, ‘Is there any part of your code that’s on the SDK?’ ‘ and ‘Please keep us informed if so so we are aware of this.’” he said.
“They can notify their suppliers; there are contracts here. Lenders need to know if any of the components that make their manufacturing process work are at any risk. Their supplier management policy should cover this.”
Suppliers that are already integrated will have an advantage, VanFossen argued, because they can devote resources to meeting lender requests, while older competitors will have to spend more time and money transitioning to the API.
