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Home » Store » Inside The GSEs » GSEs Not Impacted by TRID Rules as Oversight Remains Limited

GSEs Not Impacted by TRID Rules as Oversight Remains Limited

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Inside The GSEs

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Although nonconforming mortgage seller/servicers have been faced with numerous headaches in the secondary market because of TRID errors, that’s not the case over in the GSE camp. TRID became effective on Oct. 3 2015 and the GSEs amended their contractual obligations with customers so that they know they are responsible for any losses due to violations of the TRID rule. “They’re basically turning what was a repurchase obligation into an indemnification obligation. They don’t have to be the arbiter of what’s valid or invalid,” said John Levonick, head of compliance at Clayton Holdings, in a recent phone interview. “The whole industry on the...
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