Standard Mortgage Verifications from Servicers

When a underwriter relies on standard mortgage verifications from servicers or holders, it must ensure that the verifications include:

• the unpaid principal balance of the mortgage and monthly payment amount;

• the present status of the mortgage, such as current, 30 days’ delinquent, etc.; and

• the borrower’s payment history.

When a servicer fails to provide all of the requested information, the underwriter must rely on information provided through the borrower’s canceled checks. The checks must:

• be legible,

• identify the mortgage servicer or mortgage holder as the payee,

• indicate that the servicer or holder endorsed the check for deposit, and

• indicate the date the servicer or holder deposited the check.