To submit this form, ensure all sections are filled out accurately. Submit the completed form via email to qccompliance@fanniemae.com or fax to 1-800-123-4567. Alternatively, use the online submission form available on Fannie Mae's website. Review and save a copy of your submission for future reference. Advice: double-check all entries and attachments to avoid any delays in processing.

Ensure your QC plan includes all updates and is reviewed annually. Key dates to remember for 2024 and 2025 include April 15 and October 1 for periodic reviews and updates.

The purpose of this form is to guide lenders in creating a robust quality control (QC) plan in compliance with Fannie Mae's requirements. By following the guidelines, lenders can establish clear standards for loan quality and implement effective strategies for quality monitoring. This helps in reducing financial risks, ensuring sustainable housing for borrowers, and maintaining compliance with investor policies.

• 1. Target Defect Rate Rationale: Explain the rationale for establishing target defect rate(s) and include annual review of these rates.
• 2. Defect Severity Levels: Define the severity levels appropriate to your organization and include them in the reporting needs.
• 3. QC Cycle Timing: Ensure the entire QC process is completed within 120 days from the month of loan closing.
• 4. Misrepresentation Notification: Notify Fannie Mae within 30 days of any misrepresentation or breach of selling warranties.
• 5. Sampling Methodology: Document the sampling methodology and include reviews of third-party originators' files annually.
• 6. Reverifications: Include processes to reverify income, employment, assets, and obtain a new tri-merge credit report when applicable.
• 7. Documentation Review: Clearly outline the process for reviewing all closing documents for accuracy and compliance with Fannie Mae's requirements.

Failure to submit this form can lead to contractual breaches and increased financial risk exposure for your organization.

• Financial Risk Exposure: Failure to identify and correct defective processes can lead to extended financial risks.
• Contractual Breach: Non-compliance with Fannie Mae's requirements can result in a breach of contract.
• QC Process Delays: Not adhering to the QC cycle timeline can delay the identification and correction of issues.

• 1. Creating New QC Plans: When initiating a new QC program, use this form to document all necessary procedures and requirements.
• 2. Updating Existing QC Plans: Use this form to ensure your existing QC plan is up-to-date with the latest guidelines and requirements.
• 3. Annual Reviews: Conduct annual reviews of your QC plan using this form to maintain compliance and improve processes.
• 4. Risk Management: Utilize this form to identify and mitigate potential risks in your QC processes.
• 5. Vendor Management: Document vendor review processes and ensure third-party compliance using this form.