Loan Prospector® Outreach February 10, 2013, Release

On February 10, 2013, the Loan Prospector Outreach system was updated to include:

New feedback messages aligning with specific underwriting and documentation requirements for information available on the credit report;
A new feedback message aligning with the occupant debt ratio requirements; and
Updated feedback messages reflecting previously announced requirement changes pertaining to verbal verification of employment (VOE) for employed borrowers.

Users will receive the following new and updated feedback messages, effective for all submissions and resubmissions, on and after February 10, 2013:

Message Code	Feedback Messages
New Feedback Messages
LPR 5M	The credit report for ~Borrower1~ indicates that at least 1 creditor has made an inquiry within the previous 120 days. Determine whether additional credit was granted. A letter from the creditor or a signed statement from the Client may be used to determine whether additional credit was obtained. If additional credit was granted, obtain verification of the debt and consider the debt when calculating the monthly debt ratio.
LPR YQ	The credit report for ~Borrower2~ indicates that at least 1 creditor has made an inquiry within the previous 120 days. Determine whether additional credit was granted. A letter from the creditor or a signed statement from the Client may be used to determine whether additional credit was obtained. If additional credit was granted, obtain verification of the debt and consider the debt when calculating the monthly debt ratio.
LPR YR	The credit report for ~Borrower3~ indicates that at least 1 creditor has made an inquiry within the previous 120 days. Determine whether additional credit was granted. A letter from the creditor or a signed statement from the Client may be used to determine whether additional credit was obtained. If additional credit was granted, obtain verification of the debt and consider the debt when calculating the monthly debt ratio.
LPR YS	The credit report for ~Borrower4~ indicates that at least 1 creditor has made an inquiry within the previous 120 days. Determine whether additional credit was granted. A letter from the creditor or a signed statement from the Client may be used to determine whether additional credit was obtained. If additional credit was granted, obtain verification of the debt and consider the debt when calculating the monthly debt ratio.
LPR UH	The credit report for ~Borrower5~ indicates that at least 1 creditor has made an inquiry within the previous 120 days. Determine whether additional credit was granted. A letter from the creditor or a signed statement from the Client may be used to determine whether additional credit was obtained. If additional credit was granted, obtain verification of the debt and consider the debt when calculating the monthly debt ratio.
DOC YU	A bankruptcy appears on the application. The mortgage file must also contain: 1) Copies of the bankruptcy petition, schedule of debts and discharge or dismissal (2) Evidence to indicate that all debts that are not satisfied by the bankruptcy have been paid or are being paid and (3) Any other evidence necessary to support the Seller's determination that the Client has reestablished and maintained an acceptable credit reputation.
DOC YY	The Client has had a bankruptcy within the last seven years. The mortgage file must contain 1) Copies of the bankruptcy petition, schedule of debts, and discharge or dismissal 2) Evidence to indicate that all debts not satisfied by the bankruptcy have been paid or are being paid and 3) Any other evidence necessary to support the Seller's determination that the Client has reestablished and maintained an acceptable credit reputation.
DOC YZ	The Client has had a bankruptcy. If the bankruptcy occurred within the last seven years, the mortgage file must contain 1) Copies of the bankruptcy petition, schedule of debts, and discharge or dismissal, 2) Evidence to indicate that all debts not satisfied by the bankruptcy have been paid or are being paid, and 3) Any other evidence necessary to support the Seller's determination that the Client has reestablished and maintained an acceptable credit reputation.
DOC YV	A foreclosure/deed-in-lieu of foreclosure appears on the application. The mortgage file must also contain evidence of the completion of the foreclosure/deed-in-lieu of foreclosure.
DOC YW	The Client has had a foreclosure within the last seven years. The mortgage file must also contain evidence of the completion of the foreclosure.
DOC YX	The Client has had a short sale/deed-in-lieu of foreclosure within the last seven years. The mortgage file must also contain evidence of the completion of the short sale/deed-in-lieu of foreclosure.
LPR YP	The occupant Client's monthly debt payment-to-income ratio must not exceed 43% of the occupant Client's stable monthly income.
Updated Feedback Messages
DOC CV	Obtain most recent YTD paystub documenting 1 full month, W-2(s) from the most recent tax year, and a verbal VOE, using Form 90 or comparable form, dated no more than 10 Business Days prior to the Note Date or after the Note Date but prior to the Delivery Date; or, a written VOE for 12 full months and a verbal VOE dated no more than 10 Business Days prior to the Note Date or after the Note Date but prior to the Delivery Date for ~EmplBorr~
DOC X1	Obtain most recent YTD paystub documenting at least 30 days of income and W-2(s) from the most recent 2 years or a written VOE for 24 full months. Additionally, obtain a verbal VOE, using Form 90 or comparable form, dated no more than 10 Business Days prior to the Note Date or after the Note Date but prior to the Delivery Date.

Customer Support

If you have any questions about these updates, please contact Freddie Mac’s customer support line dedicated to Loan Prospector Outreach at 866-733-0446, Monday-Friday, 8:00 am-8:00 pm (EST). Closed on New Year’s Day; Martin Luther King, Jr. Day; Memorial Day; Independence Day; Labor Day; Thanksgiving; and Christmas Day.