Jul 23, 2014 14-25
Revised Compliance Suspense Condition Clearing Policy and Electronic/Digital Signature Policy
Revised Compliance Suspense Conditions Clearing Policy
As a standard policy, MFA clears Compliance Suspense within 24 hours of receipt and in the order they are received, regardless of the number of conditions per file.
On files with more than five Compliance Suspense conditions, clearing those conditions for Compliance Approval is extremely time consuming, as compared to a file with less than 5 conditions. In addition, clearing a large number of conditions also delays the review and Compliance Approval on files that are properly packaged and have minimal conditions.
In an effort to expedite the Compliance Approval process for all Participating Lenders, MFA is revising the policy for clearing conditions on loans with 5 or more conditions from 24 hours to 48 hours. Files with less than 5 conditions will remain at a 24 hour turnaround time.
This change will be effective for Compliance Review files submitted after August 1, 2014.
Revised Electronic/Digital Signature Policy
MFA’s policy has not previously allowed for electronic/digital signatures to be used on any documents submitted by the lender for compliance review.
Given changes in the industry MFA is revising the electronic/digital signatures policy and will now accept electronic/digital signatures on all documents except for the following:
- Income disclosure letter
- Any Borrower explanation letter
- Lender certification/letter of explanation
- YTD Profit and Loss for self-employed borrowers
- Rental verification letters from Landlords
- Original Note
- Original Mortgage
- Signature Affidavit
Thank you for participating in MFA’s program. Should you have any questions, please contact an MFA Homeownership Representative at 1-800-444-6880 or 505-843-6880.