Desktop Underwriter (DU) Troubleshooting. User Guide

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Desktop Underwriter (DU) Troubleshooting

User Guide

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1. Overview ...3

2. Getting Started ...4

3. Error Details - Failed to create DU request properly - ...5

4. Error Details - Casefile xxxxxxxxxx is not associated…

(Wholesale Only)

...6

5. Error Details - Credit Agency Error: SSN does not match ...6

6. Error Details - Check credit report valid for UW’ing ...7

7. Error Details - Hired from Date is missing for ...7

8. Error Details - Casefile ID xxxxxxxxx for resubmission...8

9. Error Details -

Credit Agency Error: Invalid Name ...9

10. Error Details -

Fannie Mae Error: 111371... 10

11. Error Details –Real Error 118361 Estate Owned Section... 11

12. Error Details –Cannot Complete re-issue: requested ... 12

13. Error Details –Case is out of scope (CLTV) ... 13

14. Error Details –

Polling for DU Underwrite Documents... 14

15. Error Details – Loan Amount Exceeds Value Calculation ... 15

16. Error Details – Account number and/or password are not recognized... 16

17. Error Details – Pending Sale REO Property has negative equity of ... 17

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1 Overview

Introduction

Caliber Home Loans has integrated Desktop Underwriter (DU), directly into the H2O LOS platform for expedient use for our employees/clients .

This guide will provide users with the information needed to correct DU Errors, and self-troubleshoot many of the common issues that occur in H2O’s integration.

Who to Contact for DU Assistance at Caliber:

H2Online Support has the ability and experience to correct or escalate any DU issues/errors.

[email protected]

Via Live Chat in H2O

Caliber employees will have limited accessibility to DU once a file has been submitted. If any changes

are needed on files in process; user will need the assistance of the CRM/Processor or Regional

Operations Manager, as Online Support will not make changes to files in process.

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2 Getting Started

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This section will outline the steps to access any DU error as they occur, as well as correct the error to receive corrected/completed findings.

Navigation to DU

Findings in H2O:

Once DU findings are requested, H2O will automatically load the View findings page. To access previously run findings:

In Wholesale loans, click on View beside the AUS action item:

In Retail loans, click on View AUS on the AUS/Prequalify action item:

Determining Error

type/source:

Once in the View screen, click on both the link marked Error and the Status link marked Error. On occasion, a PDF will generate with the error displayed.

Errors will show in a separate pop up when accessed from the Transaction History, and as a PDF when accessed from the DU Details section. These details will help the user determine the error source/cause.

Finding the

Solution:

Once an Error status is received, use the Find feature built into this Adobe PDF to more quickly find the solution. (Ctrl + F also activates this feature)

NOTES:

 It is best to search off of key words. (I.e. DU, Casefile, SSN, Credit, etc.)

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3 Error Details – Failed to create DU request properly - …

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Error:

Reason/Cause:

This error is caused when a TBD Property loan is run through DU and there is no City, State or Zip code entered in for the Subject property address.

Correction:

This information can be easily added to the borrower summary of the 1003. Once this is input, rerun the DU.

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4 Error Details – Casefile xxxxxxxxxx is not associated…

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Wholesale Only

Error:

Reason/Cause:

Error is caused when the Casefile ID is not Finalized to Caliber Home Loans.

Correction:

BP will need to access Fannie/DU and finalize the findings to Caliber Home Loans, Inc.

Once finalized, the broker would simply rerun the DU.

5 Error Details – Credit Agency Error: SSN does not match

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Error:

Reason/Cause:

Borrower Information (specifically SSN) on the 1003 in H2o does not match the Credit _{report attached to the DU.}

Correction:

Ensure the following information matches between 1003 and Credit Report and correct the appropriate documentation/h2o accordingly:

 Borrower(s) Name (First, Middle and Last) Spelling

 Also and if there is a Suffix or Generation (I.e. Jr, Sr, etc) make sure there is no

. at the end. (I.e. Jr. – remove the .)

 Borrower(s) SSN matches how the credit was pulled

 Reference # for the Credit report is correct in H2O

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6 Error Details – Check credit report valid for UW’ing…

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Error:

Reason/Cause:

Credit agency/ credit report error caused by the credit report being NOT acceptable to run DU findings. In most instances the Credit report is NOT a tri -merge credit report. NOTE: DU requires a tri-merge credit report to provide completed findings.

Correction:

Associate a tri-merge credit report to the loan. Once this is input, rerun the DU.

7 Error Details – Hired from Date is missing for…

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Error:

Reason/Cause:

Underwriting Checklist Error_{the loan. The SSN for borrower/co-borrower that has no data for employment dates will} – Specifically, the Hire Date is missing from a borrower on

be listed within the error.

Correction:

Review/ Correct this information on the Employment, Income & Housing tab of the 1003 and this will clear the error. Once this information is input, rerun the DU.

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8 Error Details – Casefile ID xxxxxxxxx for resubmission…

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Error:

Reason/Cause:

Casefile ID does not exist with DU. accurate/correct Casefile ID must be provided to Online Support to be able to move

H2online Support must correct this error.

The forward.

Correction:

Originator will not have access to correct the Casefile ID once DU has been run in H2o. Support Analyst Walkthrough:

On the DU Request Setup Screen, One of two methods can be used:

1. Correct the Casefile ID; unlock the “lock” icon, enter in the correct Casefile ID and then re-lock the icon, then re-run DU.

2. Request New DU Findings. This is not to be used unless manager approval is given, as this charges Caliber for the DU.

NOTE: If H2o is prompting for reference #’s, input 12345 to associate the Casefile ID and

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9 Error Details – Credit Agency Error: Invalid Name…

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Error:

Reason/Cause:

This is caused by an error in the Suffix field on the Borrower Summary.

Correction:

Check the borrower(s) name(s) on the 1003, Borrower summary screen and remove any punctuation (. , : ;, etc.) from the Suffix field. Once this information is removed and saved, rerun the DU.

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10 Error Details – Fannie Mae Error: 111371…

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Error:

Reason/Cause:

Error reads:

Fannie Mae Error code 111371. Please Resubmit… This is a credit agency generated error.

Correction:

This refers to the reference number that is attached to the DU findings; specifically to a CoreLogic Credit report, as H2o Defaults to Credco CoreLogic.

If the credit on a file is a Credco CoreLogic credit report, check the reference number on the DU Setup Screen in the Credit Request Setup section, ensuring there are no dashes and the number is 15 digits.

CoreLogic Example: 123451234512345

If the credit agency being used is not CoreLogic Credco, please ensure that the reference number is correct prior to advancing.

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11 Error Details –…Real Error 118361 Estate Owned Section

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Error:

Reason/Cause:

This happens when the Credit for the loan is pulled Jointly and the REO/MTG Liability is

showing assigned to the Co-Borrower. DU cannot read the loan correctly and errors.

Correction:

Correct the Mortgage Liability and REO for the property to show belonging to the primary borrower on the loan. Once changes are made, Save and rerun the DU.

Correcting the Liability:

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12 Error Details – Cannot Complete re-issue: requested…

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Error:

Reason/Cause:

This error is returned by the Credit Company the Originator used to associate to the Findings.

The retention period for the loan has been exceeded; I.e. the report may older than 90 days.

Correction:

The Originator must contact the Credit company to see what the issue is with the Retention Period.

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13 Error Details – … Case is out of Scope (CLTV)

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Error:

Reason/Cause:

Loan is set up as a Purchase; however in the REO section of the loan, a property that is already owned and is not the subject property has been marked as the subject property causing DU to double count the CLTV.

Correction:

Remove the ‘is Subject Property’ checkmark from the REO page of the incorrect property.

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14 Error Details - … Polling for DU Underwrite Documents

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Error:

Reason/Cause:

This error is caused by an issue with the XML data transferring over from H2o to DU/Fannie for review and decision. This particular error was caused by special characters entered in the CAVIRS # as shown below.

Correction:

1008 > UW Analysis > click on Generate 92900-LT, and correct the CAIVRS #.

Note: Access to this screen is restricted, if you do not have access please contact your

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15 Error Details - … Loan Amount Exceeds Value Calculation

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Error:

Loan amount does not exceed value calculation or the FHA maximum loan

calculation does not exceed maximum, yet the DU findings reflect that it does.

Reason/Cause:

Caused by the LTV exceeding the Guidelines for an FHA Purchase, LTV cannot exceed _96.5%

Correction:

Lower the Total Loan Amount (Base LA + MIP if financed) to within guidelines, then re-run the DU.

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16 Error Details – Account number and/or password…

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Error:

Reason/Cause:

The Account number or the password for the Credit information does not match with _{the Credit Agency.}

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17 Error Details – Pending Sale REO property has negative…

(Error Located within completed findings)

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Error:

Reason/Cause:

There is an REO record that shows the Property Status marked as _{counting the information into the Funds to close.} Pending Sale and DU is

Correction:

If the Property being sold will close prior to the Subject Loan, Correct the REO to show as Sold. DU will then remove the Required funds from the pending sale.

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18 Error Details - … Field 02D-070 (Purpose of Refinance)…

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Error:

Reason/Cause:

Refinance Purpose is missing from the loan in the Borrower Summary of the

1003 within H2O.

Correction:

Correct the 1003 > Borrower Summary screen under the Loan Details.

NOTE:

DU will not run with the Purpose of Loan as Construction-Permanent;

Loan will need to show as REFI or Purchase.

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19 Error Details – VA Loan Ineligible due to Marital Status

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Error:

VA Findings returning as Ineligible due to the co-borrowers not being married,

even though marked as married in the 1003.

Reason/Cause:

This is due to an import miscommunication in certain cases where DU is not

reading the marital status correctly.

Correction:

Originator needs to change the marital status to

Unmarried,

Save, and then

change it back to

Married

and

Save

again. Once completed, re-run the DU.

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20 Error Details – Investment Property & 2

nd

Home…

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Error:

DU has a specific setup needed for 2

nd

homes and Investment properties. FNMA

provides a general walkthrough specific to this, (

Click Here

), the below details

this in H2O. This results in an Error recommendation, and the below

Risk/Eligibility error.

Reason/Cause:

This error is primarily caused by the input in the H2O 1003 not including the

Taxes and Insurance on for the Primary home on 2

nd

Home and Investment

property transactions.

This can also be caused by mismatching information from the

Employment,

Income & Housing

section of the 1003 to the

Assets, Liabilities & REO

section of

the 1003.

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Error Details – Investment Property & 2

nd

Home…

CONTINUED

Correction:

To correct errors of this sort

it is imperative to confirm all figures match

from the

Employment, Income & Housing

section of the 1003 to the

Assets, Liabilities &

REO

section of the 1003.

In the

Employment, Income & Housing

screen of the 1003, within the

Monthly

Income and Combined Housing Expense Information

section at the base of the

screen, there are several items to be cognizant of:

1. The field

Sub Prop Net CF

is where the Subject Property Net Cash Flow must

be input. This amount needs to match the

Proposed

total payment for

purchases where the subject property does not have rental income, or is not

being used to qualify.

This must be entered as a negative number to

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Error Details – Investment Property & 2

nd

Home…

CONTINUED

Correction

Continued:

2. The

Other Fin. (P&I), Hazard Insurance,

&

Real Estate Taxes

MUST

match

the information input into the Liabilities and REO sections for the

corresponding properties.

a.

If taxes or insurance includes any cents, they must be rounded up to

the next dollar. In this example, the taxes are $199.25, this must be

rounded to

$200

in the Liability that must be added, and in the REO

record for the property.

(Present = Primary Home & Proposed = Subject Property)

Desktop Underwriter (DU) Troubleshooting. User Guide