Post-Closing Quality Control Audit Program

The Culp QC Post-Closing Quality Control Audit Program includes a full and complete audit of every mortgage loan file that you provide to us.

Our auditors use a comprehensive audit checklist that complies with quality control guidelines set forth by FNMA, FHLMC, HUD,VA and Rural Housing. We can also tailor a quality control checklist to include any special documentation that is unique to your business.

Our mortgage loan audits include a re-verification of credit documents, ordering of credit reports and field appraisals, and a thorough review of the underwriting decision and supporting documentation. We also undertake a thorough examination of all closing documents, including a re-calculation of the Final Truth-in-Lending Statement and a desk review of all appraisals.

Our Reports Package includes an executive summary along with detail sections to provide you the information you need to properly evaluate your mortgage loan origination process.

The Findings Section of our Reports Package is divided into three groups: All Document Findings, Loan Document Findings and Compliance Document Findings. Each group sorts the findings by office, origination process, loan type, severity and frequency.

The Trend Analysis Section provides a 12-month history of key facts from the monthly audits such as the average finding rate per file, average finding rate by loan type, findings by origination process, and findings by severity. Also included in this section are Trend Analysis Reports that provide the 12-month history of your Gross and Net Defect Rates by Severity as defined and required by Fannie Mae.

The Executive Summary provides an overview of the monthly audits including audit scope, loan file selection methodology, audit procedures and key facts and statistics that are important when reviewing the customer’s production operation and manufacturing process.

We deliver a Preliminary Quality Control Audit Report within 50 days of the date we receive the selected loan files to give you the opportunity to review the findings and to provide us with any missing documents and/or additional information that might clear the findings.

Soon after we receive the response to the Preliminary Audit Report, we issue the Final Quality Control Audit Report. Our goal and standard procedure is to issue the Final Quality Control Audit Report with in 60 days from the time we receive the selected files for audit.

This process enables the Final QC Audit Reports to be the most useful to the client as it includes only the issues and deficiencies pertaining to their loan quality and manufacturing process.

For additional information on our Post-Closing Quality Control Audit Program, please contact Betsy Reynolds at 205-536-7715.