Conversations About QC: The Power of Prefund(TM)
July 31, 2023
In this month’s video, Kristin Broadley, QC Ally’s Chief Innovation Officer, shares a recap of the Fannie Mae prefund guidelines that go into effect on September 1st, discusses why it matters to the lending community, and provides information on how you can prepare now. Sign up to watch the July conversation here: conversations.qcally.com
Fannie Mae Requirements Summary
“Fannie Mae now requires lenders to complete a minimum number of prefunding QC reviews each month, and this review must be conducted by parties who have no involvement in the processing and underwriting decision of the loan being reviewed. A lender’s loan selections must equal, at a minimum, the lesser of:
- 10% of the prior month’s total number of loans originated or acquired, or
- 750 loans.”
Why it matters to lending community?
There is a lot of inherent value that hasn’t been realized in prefund samples. They allow you to proactively identify trends and remediate processes before the loan closes while also enabling you to expand the credit box. Now is the time to prepare so that you can not only ensure compliance but also thrive during times of scarcity.