Accessing and Reviewing Credit Enhancement and Primary Mortgage Insurance Information in Loan Coverage Advisor

Transcription

1 Freddie Mac Loan Coverage Advisor (LCVA) calculates and tracks the representation and warranty relief date for every loan sold to Freddie Mac, based on the requirements under the selling representation and warranty framework. LCVA also provides access to other critical information associated with a loan, including transfer of servicing transactions, mortgage insurance, and other credit enhancements. This reference provides information on accessing and reviewing credit enhancement and primary mortgage insurance information in LCVA. Accessing Credit Enhancement and Primary Mortgage Insurance Information To access credit enhancement (CE) and Primary Mortgage Insurance (Primary MI) information, complete the following steps: 1. From the Search page, click Advanced Loan Search. The Advanced Search page displays. 2. Select the Seller/Servicer Number OR Master Commitment Number as the primary search criteria type from the drop-down list. Then enter the Seller/Servicer Number or Master Commitment Number in the What is the number? field. Enter the loan number (FM Loan Number, Seller Loan Number or Servicer Loan Number) if looking for information on a specific loan. December

2 3. Select either CE criteria, Events criteria or Primary MI criteria from the More Options drop-down list based on the information you wish to retrieve. (Refer to Reviewing Credit Enhancement and Primary Mortgage Insurance Information for details on the search results.) The applicable search parameters display with each option. 4. Enter search criteria for the option selected: a. If you selected CE criteria under the More Options drop-down list, choose at least one CE type from the Exclude from search list (applicable under your Freddie Mac Purchase Documents), and move it to the Include in search list using the navigation buttons. (Optional) Select the Include loans with Inactive CE: checkbox if you wish to include loans with an Inactive CE status as a search parameter. By default, the system includes only loans with an Active CE in the search results. December Page 2

3 Tips for Adding Credit Enhancement Types To select more than one CE type from the Exclude from search list in a single step, press and hold the CTRL button when making the second and all subsequent selections. Use the Add button to transfer the selections to the Include in search list. To select ALL CE types from the Exclude from search list in a single step, simply click Add all to transfer the entire list to the Include in search list. Tips for Removing Credit Enhancement Types To remove selected CE types from the Include in search list, highlight the selection(s) and click Remove. To remove ALL selected CE types from the Include in search list, click Remove all. The selected CE types appear in the Include in search list. b. If you selected Events criteria under the More Options drop-down list, select Loan CE Tag Updated from the drop-down list as the event, and enter a date range for the event. December Page 3

4 Use the calendar icon to select the date c. If you selected Primary MI criteria under the More Options drop-down list, select at least one MI Family- Company name from the Exclude from search list, and move it to the Include in search list using the navigation buttons. (Optional) Enter the Certification Number and MI Coverage %. You may also select the Include loans with Inactive MI: checkbox if you wish to include loans with an Inactive MI status as a search parameter. By default, the system includes only loans with Active MI in the search results. The Cancellation Date field and Cancellation Reason field become accessible when you select the checkbox. December Page 4

5 5. (Optional) You may also use the Active and/or Closed Loan and Loan Funding Date parameters to further refine the results retrieved by the search query. You cannot use R&W Relief Date Options on the Advanced Search page with a search built around CE criteria. a. To add Loan Funding Date(s) to the search criteria, select one parameter from the drop-down list to refine the search date. The parameters allow you to choose from an exact date, any date within a specified date range, or any date before or after a defined date. When you select is between, an additional date field appears to specify the end date. Use the calendar icon to select the date b. To restrict the search results to Active Loans Only or Closed Loans Only, select the appropriate radio button. The default setting is Active & Closed Loans. December Page 5

6 6. Click the Find Loans button. LCVA performs the search query and displays the results in the Search Results page. Reviewing Credit Enhancement and Primary Mortgage Insurance Information The following search results examples are illustrative of results retrieved using three different options as search parameters: CE criteria, Events criteria or Primary MI criteria. Located below each example is a table with descriptions of the fields included in the results. The Undo link aligned with each of the search parameters (in the Current Search box located to the left of the Search Results tables) allows you to dynamically modify the results set. Removing any one of the search parameters could result in incremental increases in the number of loans returned in the search results. If you remove all the search parameters within the Current Search box, the search results become equivalent to a basic search. You can export the results to CSV file format by clicking the Export All Results icon at the top of each table. In a future LCVA release, we will be adding the Seller Loan Number to the results and export function. CE Criteria Search Results Example The following table provides a description of the CE criteria data fields displayed in the search results table in the order of appearance (from left to right in the table). December Page 6

7 CE criteria Search Results Data Field FM Loan Number CE Type Recovery Source Enforcement Trigger Enforcement Action Actual Termination Date Planned Termination Date CE Coverage MI Company MI Policy Number MI Certificate Number Description The 9-digit Freddie Mac loan number used to identify a mortgage delivered to Freddie Mac for purchase. Identifies the type of Freddie Mac credit risk offset associated with the loan under the applicable CE agreement. Counterparty responsible for the CE. The event or time frame that initiates an Enforcement Action. The process of recovering losses for the CE coverage. The date the CE coverage was terminated. The date the CE coverage is scheduled to terminate provided the termination provisions in the agreement are met. The amount of credit risk offset applied to a loan or group of loans. The name of the Mortgage Insurance company. The number assigned by a mortgage insurer to identify a mortgage insurance policy. The number assigned by a primary mortgage insurer to track a loan. Events Criteria Search Results Example December Page 7

8 The following table provides a description of the Events criteria data fields displayed in the search results table in the order of appearance (from left to right in the table). Events criteria Search Results Data Field FM Loan Number Event Type Business Event Date R&W Impacted Description The 9-digit Freddie Mac loan number used to identify a mortgage delivered to Freddie Mac for purchase. Describes the nature of an event within Loan Coverage Advisor. The date when an activity occurred that may impact the R&W of a loan. The impact an event had on the R&W for a loan. Primary MI Criteria Search Results Example The following table provides a description of the Primary MI criteria data fields displayed in the search results table in the order of appearance (from left to right in the table). Primary MI criteria Search Results Data Field FM Loan Number MI Company Certification Number Description The 9-digit Freddie Mac loan number used to identify a mortgage delivered to Freddie Mac for purchase. The name of the mortgage insurance company. The number assigned by a mortgage insurer to track a loan. December Page 8

9 Primary MI criteria Search Results Data Field MI Coverage % Status Cancellation Date Cancellation Reason Description The percent of MI coverage available for a loan in the event of a default. Status indicating whether the MI coverage is active or inactive (cancelled). The date the Primary MI coverage was cancelled. The reason that the Primary MI coverage was cancelled. Additional Resources Loan Coverage Advisor web page Selling Representation and Warranty Framework web page This document is not a replacement or substitute for the information found in the Single-Family Seller/Servicer Guide, and /or terms of your Master Agreement and/or Master Commitment Freddie Mac December Page 9