Responding to a Management Escalation Decision

After requesting a Management Escalation, Fannie Mae and the lender have 30 calendar days to meet and discuss the request and attempt a resolution. At the end of that time period, Fannie Mae will send you an email as to its decision and confirm the next step in the process. Because this happens outside of Loan Quality Connect, you must log into Loan Quality Connect to take further action once the email is sent, as follows:

• If you agree with Fannie Mae's decision, you will log in to Concur to Repurchase Alternative or Concur to Repurchase.
• If you disagree with Fannie Mae's decision, you may Request an Independent Dispute Resolution in Loan Quality Connect.

You must have met all response deadlines associated with the loan review to be eligible for an Independent Dispute Resolution (IDR). By requesting an IDR, you agree to comply with the outcome of the IDR and to pay associated fees.

Follow these steps to respond to a Management Escalation Decision:

1. Click Resolution Queue, and then the Management Escalation BI card.

   Loans with a Management Escalation Request populate the search result area under the BI cards.

2. Click the loan of your choice, and then click View – or simply double click the loan – to open the Loan Details page and perform further actions on that loan.

   
   
   The Loan Details page opens, defaulting to the Remedy Status screen where the Management Escalation Decision appears.

   

3. Click the last small circle on the status bar to open additional information about the Management Escalation Request.

4. Click View Current Letter, View Management Escalation Letter near the bottom of the screen or the Letters tab to view the Management Escalation Letter.

When the Letters tab is selected to view the Management Escalation Letter, a list including the active and archived letters display. You may select any letter in the list and click View to open it.

5. From the Remedy Status tab, navigate to the Your Options section to view possible actions you can take in response to the Management Escalation Decision.
   
   

 

Options for Responding to Management Escalation

The actions listed below are options for responding to the Management Escalation Decision. Throughout each step of the remediation process, the listed actions can be selected from the Your Options section:

Note: If Fannie Mae offers a Repurchase Alternative on the loan, you will see the Repurchase Alternative as an available option instead of Request Repurchase Alternative.

Each of the following options includes step-by-step instructions on how to perform the action.

Concur to Repurchase - Single Loan

This option gives you the ability to acknowledge that the loan has at least one (1) significant defect that cannot be cured and agree to repurchase the loan or have submitted for repurchase approval (to stop SLA from expiring).

Follow these steps to concur to a Resolution Request after Management Escalation:

1. On the Loan Details/Remedy Status screen, navigate to the Your Options/Repurchase, then click Concur to Repurchase.
   
   
2. Click No and select ‘I need Remittance Amount’ to determine remittance process. (See Determining How to Remit Funds on a Repurchase Request for instructions.)
   
   
3. Click Yes to Concur to Repurchase.

Note: Once you click Yes, you cannot go back to the previous step.

Remedy Status will now display 'Concurred to Repurchase'.

Important: After you concur to a repurchase request, you must remit funds. (See Determining How to Remit Funds on a Repurchase Request for instructions.)

 

Concur to a Repurchase Alternative

This option gives you the ability to acknowledge that the loan has at least one (1) significant defect and agree to the terms that are offered as an alternative to repurchasing the loan.

Follow these steps to concur to a Repurchase Alternative after opening the loan:

1. On the Loan Details/Remedy Status screen, navigate to the Your Options/Repurchase section and click the Repurchase Alternative radio button to view the Repurchase Alternative(s) offered on the loan.
   
   
2. Determine which Repurchase Alternative you wish to concur to then click Concur.

Note: When multiple Repurchase Alternatives are offered, you may select only one.

3. Click Yes to concur to the Repurchase Alternative or No to return to the previous screen.
   
   

4. To add a new contact, click Add and complete the required fields: Title, Name, and Email address.

Note: The Contact to Execute Agreement window is where you will need to select or add a contact of who will be executing the agreement.

If there are no contact listed, you will need to add the contact information of the officer(s) who will execute the agreement. This information is needed for your Fannie Mae contact to initiate your electronic signature process.

If contact(s) are listed, proceed to step 6.

5. Click Save.

Note: Repeat steps 4 and 5 if more than one contact needs to be added.

6. Click the contact of choice, then click the Select to request an electronic signature agreement via DocuSign.
   
   
   Remedy Status will now display Concurred Repurchase Alternative along with the authorized contact you selected.