Lending, Mortgage
Freddie Mac announces automation of key underwriting criteria
Freddie Mac has unveiled new automated underwriting capabilities that allow lenders to verify assets, income and employment using borrower-approved bank account data. On June 1, 2022, this functionality will be available to mortgage lenders nationwide through the asset and income modeler (AIM) in Freddie Mac Loan Product Advisor® (LPASM), the company’s automated underwriting system.
Mastercard’s open banking platform (provided by Mastercard’s wholly-owned subsidiary, Finicity) is a service provider for this capability. The VOE Transaction and Payroll reports can help lenders improve accuracy and simplify the process of verifying employment within ten days of closing, removing more friction from the loan origination process without increasing risk.
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