Will my election for self-reported loans apply to loans that are discovered by Fannie Mae through its QC process?
Yes. The same remedies will apply to loans identified by Fannie Mae though its QC process. If QC identifies other significant defects for loans sold prior to 5/1 and the lender elected to pay the LLPA, those significant defects could result in repurchase.
For more information, refer to the published Lender Letter LL-2020-06, Selling Loans in Forbearance Due to COVID-19.