Loan Closing Advisor FAQs
Loan Closing AdvisorSM
Find answers and advice for Freddie Mac's closing data validation tool.
General Loan Closing Advisor Questions
Loan Closing Advisor is the Freddie Mac tool that collects and validates the Uniform Closing Dataset (UCD) in XML format. Loan Closing Advisor assesses the data against the UCD specification, checking for the completeness, validity and accuracy of certain calculated values, as well as consistency of the data. You can assess a loan through Loan Closing Advisor as many times as needed throughout the loan process, helping you to identify and resolve errors before you close a loan. This reduces the likelihood of a need for loan remediation, delays in delivery and repurchase risk related to closing data.
The UCD (Uniform Closing Dataset) is a common industry dataset that allows information on the Consumer Financial Protection Bureau's (CFPB's) Closing Disclosure to be communicated electronically. The GSEs have developed the UCD at the direction of the Federal Housing Finance Agency as part of the Uniform Mortgage Data Program® (UMDP®), an ongoing initiative to enhance loan quality and consistency through uniform loan data standards for the single-family loans the GSEs purchase.
We'll require the use of Loan Closing Advisor and submission of the UCD XML file for all loans we purchase with a Note Date on or after September 25, 2017. Loan Closing Advisor is Freddie Mac's UCD collection tool; therefore, it must be used to submit the UCD XML file and Closing Disclosure PDF at or before the time of loan delivery.
Yes. Freddie Mac is providing a six-month transition period (starting September 25, 2017) before enforcing the requirement to embed the Closing Disclosure PDF in the UCD XML file. Nonetheless, you are encouraged to submit the embedded Closing Disclosure PDF with the UCD XML file starting on September 25, 2017 to the extent you have the capability to do so.
Contact your Freddie Mac Account Representative or visit the Loan Closing Advisor web page and click on the "Get Started" button to start the process.
We don't limit the number of users. For the customer test environment, we ask that you limit access requests to four users per organization for GUI and one user per organization for system-to-system.
You can access the Loan Closing Advisor web-based GUI and upload UCD XML files for evaluation against Loan Closing Advisor rules, and view and export results. A system-to-system (or direct) integration is also available; allowing you to assess loans and receive results via direct system integration.
Yes. The Loan Closing Advisor System-To-System Web Services Technical Document is available to Freddie Mac customers upon request. Please contact your Freddie Mac Account Representative to request a copy.
Loan Closing Advisor system-to-system (or S2S) method is a web service call that uses https protocol allowing data to be encrypted in transmission. The calling system connects to Loan Closing Advisor's web service via the required parameters. The Loan Closing Advisor web service is a synchronous service with a single operation called Evaluate Loan. This operation accepts a single loan in the Uniform Closing Dataset (UCD) format, and assesses it for data quality and eligibility, returning the results of the evaluation in the form of an XML payload.
Loan Closing Advisor uses a standard port 443 (https) for system-to-system access to Loan Closing Advisor's customer test environment and production environment.
You'll be locked out after five failed attempts. You may resubmit after the 30-minute account lock-out period.
The feedback provided by Loan Closing Advisor does not indicate whether Freddie Mac will (or will not) purchase your loan.
Yes. Both Freddie Mac and Fannie Mae accept an XML file that uses the MISMO v3.3 reference model and conforms to the published UCD specifications.
You'll receive actionable feedback messages on the UCD data quality, regarding completeness, consistency and accuracy of certain calculated values, and reasonableness to help you resolve closing data defects. Loan Closing Advisor also provides you with loan eligibility information as it relates to closing data, providing you with greater certainty and reducing repurchase risk.
No, if there are only yellow or green messages. Yes, if the loan submission generates red General Info messages.
Both business and technical messages are available in the GUI and system-to system methods. The feedback certificate displays business messages only; however, an export of the evaluation results shows both business and technical messages.
Yes. You can view and print the Loan Closing Advisor feedback certificate (with or without feedback messages). For the system-to-system method, stylesheets are available to display the feedback certificate at the summary and detail levels.
You should correct all errors in the system of record so that the submitted XML file always represents the data contained within the source system.
If there are no red General Info messages, the UCD requirement is satisfied. The feedback certificate will also indicate that the UCD requirement has been "Satisfied".
Yes. Freddie Mac will require you to submit the Closing Disclosure (PDF) along with the UCD XML file through Loan Closing Advisor for any loan submitted to Freddie Mac for purchase. However, you may submit a UCD XML file, with or without a PDF, any number of times to receive feedback on the closing data.
Yes. The following are needed to evaluate your UCD XML file:
- Loan Purpose Type
- Loan Identifier Type (Lender Loan)
- Loan Identifier (Lender Loan ID)
- Document Type
- Document Type Other Description
- MIME Type Identifier*
- Object Encoding Type*
Freddie Mac evaluates submissions and provides feedback against all UCD fields. The majority of the feedback messages are informational to help you validate that your closing data aligns with the UCD.
No, the transaction ID is not required as an input into the Selling System when a loan is delivered.
Freddie Mac will leverage unique identifiers from Loan Closing Advisor in the background for the Selling System to validate that the UCD requirement has been met. There are no changes required to the Selling System delivery.
Yes. Document preparation vendors will be able to submit the UCD on behalf of lenders.
Yes. Generally, for one loan, the XML file with the PDF attached is approximately 3.5MB. Ten XML files can be submitted for assessment if the PDF file is attached, while a maximum of 2,500 XML files can be submitted for assessment if the PDF file is not attached.
At this point, there are no archive requirements. Some parameters are in place to limit the data that is returned. For example, when searching by Submission Date the user is limited to 62 calendar days and when searching by Closing Date the user cannot search beyond 30 calendar days.
Please contact your Freddie Mac representative with any feedback you may have on your experience with Loan Closing Advisor or any Loan Closing Advisor implementation questions. You may also contact UCD@FreddieMac.com with any UCD implementation questions.
Loan Closing AdvisorSM Correspondent FAQs
Yes. Correspondents will be able to submit closing data, receive assessment results and export the submitted XML and embedded PDF documents.
To use Loan Closing Advisor, you first need to have a third-party originator number.
- Visit the Loan Advisor Suite® web page.
- Click the "Get Started" link.
- Select the third-party originator option and follow the onscreen instructions to sign up for
Loan Closing Advisor.
Yes. With the Loan Advisor Suite Correspondent Assignment Center you can easily share your Loan Closing Advisor feedback certificate and your UCD data and documents with aggregators through a user-friendly web interface.
A "UCD Requirement" indicator on the Feedback Certificate will display "Satisfied" if the UCD mandate has been met and "Not Satisfied" if it has not been met.
The answer to this depends on the aggregator you are working with. Each aggregator determines their expectations for correspondent delivery.
For a list of verified vendors, check our Freddie Mac verified vendor list at http://www.freddiemac.com/singlefamily/tech_vendors.html.
Yes. Document preparation vendors will be able to submit the UCD on behalf of lenders.
Yes. You can submit updates to Loan Closing Advisor at any time.
No. if the loan received a "Successful" UCD mandate status, the seller will not need to resubmit the UCD for that particular loan.
Yes. Loan Closing Advisor has print capabilities.
Yes. The Loan Closing Advisor System-To-System Web Services Technical Document is available to Freddie Mac customers upon request. Please contact the Freddie Mac Customer Support Contact Center (800-FREDDIE) to request a copy.
Loan Closing Advisor system-to-system is a web service call that uses https protocols allowing the data to be encrypted. The calling system connects to Loan Closing Advisor's web service via the required parameters. The Loan Closing Advisor web service is a synchronous service with a single operation called Evaluate Loan. This operation accepts a single loan in the UCD format, and evaluates it for data quality and eligibility, returning the results of the evaluation in the form of an XML payload.