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Additional Tech Advances for the USDA

The Game has Changed
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The Game has ChangedDoes your Firm originate USDA loans?  If so, you should be aware of the recent enhancement in the past three months in which the USDA’s Lender Loan Closing system was modified to permit the electronic issuance of Loan Note Guarantees.

Now, there’s an even larger technological enhancement. Beginning on March 28, 2015, the USDA’s Government Underwriting System (GUS) will be down for most of the day in order to incorporate changes that will enable lenders to upload all required origination documents into GUS following a final submission.  Once submitted, a notification will then be generated alerting USDA staff that a request is ready for processing.  This system enhancement will eliminate any future need for lenders to encrypt and email documents to the USDA.

In addition, the USDA’s Conditional Commitment Form (Form RD 3555-18E) will now be electronically generated, signed, and delivered to participating lenders by the USDA.  In this regard, lenders will receive an auto-generated email notification when the document has been issued and a link to the document will be provided.

It is rather encouraging to see the Federal Agencies (HUD, VA and USDA) all making substantive technological advances in processing loan applications and endorsements.  The end result is a more streamlined, cost-effective and efficient way to run loan origination operations.  It is a win-win situation for the Agencies, lenders and home buyers alike.

The game has certainly changed. Even the Federal Agencies are playing differently!

Gerry Glavey

About the Author

Gerry Glavey

Gerard (Gerry) Glavey is Senior Vice President / Chief Credit Officer for LoanLogics. Gerry has decades of experience working in residential mortgage credit and compliance and brings insights that few in the industry can match. In his role, he develops new services and provides support for all post close quality control and quality assurance, pre-close quality control, due diligence services, and document processing services. He spent 37 years with the US Department of Housing and Urban Development, where most recently he was the Director, Processing and Underwriting Division for the Home Ownership Center (HOC) in Philadelphia. In this capacity, Mr. Glavey was responsible for the administration of all HUD/FHA Single Family Loan Origination activities, including underwriting, appraisal and endorsement for the 16 state jurisdiction of this HOC.
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Gerry Glavey

About Gerry Glavey

Gerard (Gerry) Glavey is Senior Vice President / Chief Credit Officer for LoanLogics. Gerry has decades of experience working in residential mortgage credit and compliance and brings insights that few in the industry can match. In his role, he develops new services and provides support for all post close quality control and quality assurance, pre-close quality control, due diligence services, and document processing services. He spent 37 years with the US Department of Housing and Urban Development, where most recently he was the Director, Processing and Underwriting Division for the Home Ownership Center (HOC) in Philadelphia. In this capacity, Mr. Glavey was responsible for the administration of all HUD/FHA Single Family Loan Origination activities, including underwriting, appraisal and endorsement for the 16 state jurisdiction of this HOC.
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