We know there have been many questions regarding the Adverse Action process, and have created the attached document to help provide some clarity and updates. The document will be posted to the Resource Center and can be accessed by clicking here.
Adverse Action includes Denials, Withdrawals, Duplicates (DUPs) and TBDs that are no longer active in the system. The request for Adverse Action should always be sent to email@example.com with the full loan number and borrower last name in Subject line.
Please note the below includes a new process for FHA loans that have not been Underwritten that need to be “denied” prior to making it to underwriting (borrower clearly doesn’t qualify due to income/asset/credit). For those loans, the Processor/Loan Officer needs to submit the loan to the Underwriting Team Lead with the denial reason. From there the Underwriting Team Lead will do a cursory review, mark the denial reasons in FT360 and enter the MCR in FHAC.
Please feel free to reach out to firstname.lastname@example.org with any questions.