Charge offs

Fannie Mae’s Top Trending Questions – Dated May 2019

Written by: Lloyd Rutherford, Staff Writer Keeping up with rule changes is a challenge for even the most experienced underwriter or originator. That is part of the value of Mortgage Currentcy! In this article, Fannie Mae has updated their “trending questions” to keep you even more in the know! Rule Synopsis: Fannie Mae FINALLY updated [...]

2019-08-09T13:29:44-05:00August 12th, 2019|

FHA – Disputed vs. Derogatory – Does FHA exclude Charge Offs and Collections that are outside of 24 months OR just the late payments outside of 24 months?

Answer: This isn’t the first time I’ve had this question, and FHA really needs to change the wording in their guidelines because it is quite confusing! Reference:  FHA Manual 4000.1 In the FHA Manual, they refer to accounts that are both DISPUTED and DEROGATORY.  I think a better way to word this would be: All Disputed Charge Off Accounts [...]

2018-08-23T16:16:42-05:00August 22nd, 2018|

Fannie Mae – Repossessed Car – Our client has a repossessed car from 5 years ago. Will Fannie or Freddie require this to be paid off?

Answer: This really depends on how DU or LPA considers this.  We suggest that if you have already run DU or LPA, then it is likely the account has already been reviewed and an appropriate feedback message would need to be followed.  If your applicant is disputing the tradeline, you may also need to follow [...]

2018-05-25T17:14:11-05:00May 24th, 2018|