Examples of URLA Changes Compare and Contrast Current and Redesigned - - PowerPoint PPT Presentation

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Compare and Contrast Current and Redesigned Forms

Examples of URLA Changes

Freddie Mac Part II slides 19 to 28

• One-Borrower Modular Design Provides Maximum Flexibility

URLA Redesign – 5 Flexible Modules

URLA

Borrower Information Lender Loan Information Continuation Sheet Unmarried Borrower Addendum Additional Borrower Information

These 3 components used as applicable These 2 components used with every loan

“S” = Borrower Signs this form

S S S

Using the One-Borrower Design

• 1. Additional

Borrower form is used when two borrowers share assets and liabilities

• 2. Asset, liability,

and loan level information are requested only

• nce—on the

Borrower URLA

• 3. Additional

borrower signs Borrower URLA

Key Features of the Redesigned URLA

• 1. One-borrower

form design

• 2. Similar look as LE

and CD

• 3. Can indicate entire

sections are not applicable

• 4. Most likely choices

for asset, liability and income types are displayed for borrower to choose from

1 3 2 2 2 3 3 4 4 4

Current URLA Borrower Section

▪ Two-borrower format ▪ Small font, serif font ▪ Inconsistent field design

No cell phone or email fields Field not needed for underwriting

Redesigned URLA Borrower Section

One-borrower format Larger, sans serif font Updated contact fields New question Consistent and more granular data collection Clearer joint borrower information

Current Borrower Employment Section

▪ Cramped ▪ Current and previous employment mixed together ▪ Detailed employment income in separate section

Redesigned URLA Borrower Employment Section

▪ 3 separate sections provide easy-to-follow distinction between current and previous employment ▪ Income details provided in same section ▪ Clear self-employment data collection requirements ▪ Less detail necessary for previous employment ▪ Ability to indicate if data is not applicable

Current URLA Assets and Liabilities Section

▪ Combined assets and liabilities ▪ Limited space for additional information usually requires continuation sheets ▪ Additional annotations, references to other form sections, and calculations make this section especially prone to errors

Redesigned URLA Assets Sections

• Assets and Liabilities

are in separate sections for greater flexibility

• Asset “Pick Lists”

help borrowers know what assets to enter where

• Ability to add as

many assets as needed

• Ability to indicate a

borrower does not have additional assets