Craig Lipsay joins the Loan Value Group as managing partner, where he will work directly with institutional clients to implement Loan Value Group’s Responsible Homeowner (RH) Reward, an incentive program for underwater borrowers the company sees as a risk for strategic default. Lipsay has nearly 20 years experience in the mortgage industry, previously serving at Merrill Lynch as co-head of the North American Strategic Solutions Group and before that, head of North American Securitized Product sales at Morgan Stanley (MS). “Craig’s depth of experience in the mortgage industry makes him a valuable addition to the Loan Value Group team,” said Loan Value Group CEO Howard Hubler. “He understands the needs of mortgage risk owners, including servicers, and how they can deal with the widespread problem of potential strategic defaults in their portfolios. At the same time, Craig is well equipped to help as we scale up the RH Reward program on a national level.” Under the reward program, Rumson, NJ-based Loan Value Group pre-selects borrowers based on certain criteria of their mortgages and offers incentives when timely payments are made. The amount of the incentive varies depending on the mortgage principal and its current loan to value (LTV). “RH Reward is the only program in place today that can quickly and effectively address the needs of the millions of homeowners suffering from negative equity who want to stay in their homes and make responsible decisions,” Lipsay said. “And, unlike other alternatives, RH Reward can be implemented by the owners of risk in a variable cost, turn-key fashion without burdening their current infrastructure,” he added. Write to Austin Kilgore.