FHLMC Single-Family Seller/Servicer Guide Chapter 3401 — Postfunding Quality Control Reviews

fhlmc-3401

FHLMC Chapter 3401 governs Postfunding Quality Control Reviews: Seller/Servicer obligations when a mortgage is selected for FHLMC postfunding QC. Operative requirements include 30-day file delivery, specified electronic media format, comprehensive credit/income/ employment/collateral/asset documentation submission, accuracy-and- authenticity responsibility, and the no-repurchase-offer-shield rule (offering to repurchase does not exempt from submission).

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source:
  type: regulation
  id: fhlmc-3401
  authority: FHLMC Single-Family Seller/Servicer Guide Chapter 3401 — Postfunding Quality Control Reviews
  description: |
    FHLMC Chapter 3401 governs Postfunding Quality Control Reviews:
    Seller/Servicer obligations when a mortgage is selected for FHLMC
    postfunding QC. Operative requirements include 30-day file delivery,
    specified electronic media format, comprehensive credit/income/
    employment/collateral/asset documentation submission, accuracy-and-
    authenticity responsibility, and the no-repurchase-offer-shield rule
    (offering to repurchase does not exempt from submission).
obligations:
  - id: fhlmc-3401-30-day-mortgage-file-submission
    canonical_id: fhlmc-3401-30-day-mortgage-file-submission
    section: FHLMC Single-Family Guide §3401.1 — 30-day mortgage file submission for postfunding QC review
    description: |
      [LENDER] (Seller/Servicer) shall deliver requested Mortgage files,
      containing all specified documentation, within 30 days after the
      Freddie Mac request for postfunding quality control review. Late
      delivery may trigger a repurchase request. The 30-day clock is
      operationally bright-line.
    type: do
    audit_question: For every FHLMC-requested postfunding QC review, can [LENDER] evidence the request date, file delivery date, and a 30-day-or-less delivery interval? Are exception logs maintained for any late delivery?
    program_review: Does the program ensure every Freddie postfunding-QC request is delivered with all specified documentation within 30 days of the request, with exception logs for any late delivery?
    file_review: For QC-requested files, confirm request date, delivery date, and a ≤30-day interval; review the exception log for any late delivery.
    judgment: false
    feeds: []
    workflow_phase: investor_reporting
    owner_role: quality_control_manager
    secondary_owner_role: chief_servicing_officer
    cadence: per-qc-request
    consequence: Late delivery may trigger repurchase request and/or suspension/disqualification; major operational consequence.
    tags:
      - round-d
      - regulator-direct
      - fhlmc
      - selling-guide
      - postfunding-qc
      - 30-day-submission
      - promoted
    primary_source:
      tier: 1
      authority: FHLMC Single-Family Guide §3401.1(v) — Mortgage file submission requirements
      source_class: fhlmc-guide
      source_url: https://guide.freddiemac.com/app/guide/
      snapshot_id: fbba421721d90cb1
      fetched_at: '2026-05-25T14:09:48Z'
      content_hash: sha256:placeholder-snapshot-content-hash-from-source-json
      paragraph_quote: |
        Freddie Mac must receive requested Mortgage files, containing all specified documentation, within 30 days after the request for postfunding quality control review.
      drafter_attestation: |
        Copied verbatim from snapshot fbba421721d90cb1. §3401.1(v) 30-day-
        file-submission operative requirement.
    auditor_minimum_evidence:
      derivation: snapshot_extract
      derivation_source:
        snapshot_id: fbba421721d90cb1
        paragraph_quote: Freddie Mac must receive requested Mortgage files, containing all specified documentation, within 30 days afte
        page_or_section: FHLMC Single-Family Guide §3401.1(v)
        fetched_at: '2026-05-25T14:09:48Z'
      pathway_selection_kind: mutually_exclusive_by_facts
      pathways:
        - pathway_id: csh-amep-fhlmc-3401-delivered-within-30
          name: Files delivered within 30 calendar days of FHLMC postfunding-QC request
          evidence_items:
            - evidence_id: csh-ev-fhlmc-3401-qc-request-timestamp
              kind: timestamp
              description: FHLMC postfunding-QC request received-date timestamp.
              retention_rule_ref: reg-z-1026.25
              examiner_question_ref: FHLMC Servicer Review §3401.a
              cite_verified: false
            - evidence_id: csh-ev-fhlmc-3401-file-delivery-record
              kind: document
              description: File-delivery record (electronic media upload log or carrier tracking) showing all specified documentation delivered to FHLMC within 30 days of request.
              retention_rule_ref: reg-z-1026.25
              examiner_question_ref: FHLMC Servicer Review §3401.b
              cite_verified: false
        - pathway_id: csh-amep-fhlmc-3401-extension-or-shortened
          name: FHLMC granted a specific shorter or longer period at its discretion
          evidence_items:
            - evidence_id: csh-ev-fhlmc-3401-extension-grant
              kind: document
              description: Copy of FHLMC's written communication specifying a non-30-day window for this specific QC request, with [LENDER]'s delivery within the specified window.
              retention_rule_ref: reg-z-1026.25
              examiner_question_ref: FHLMC Servicer Review §3401.c
              cite_verified: false
      pathway_selection_logic: |
        Two pathways by FHLMC-specified window: A — default 30 calendar days from request; B — FHLMC discretionarily specified shorter or longer window per §3401.1 (e.g., for complex cases or higher-priority reviews). [LENDER] cannot unilaterally extend.
    promoted_at: '2026-05-25T18:53:05+00:00'
    promoted_from: fhlmc-3401-roundd-v1.yaml
  - id: fhlmc-3401-seller-responsible-for-document-accuracy
    canonical_id: fhlmc-3401-seller-responsible-for-document-accuracy
    section: FHLMC Single-Family Guide §3401.1 — Seller/Servicer responsible for documentation accuracy and authenticity
    description: |
      [LENDER] (Seller/Servicer) shall be responsible for ensuring the
      accuracy and authenticity of all documentation in the Mortgage
      file. This is a foundational reps-and-warranties allocation
      independent of FHLMC's QC findings; [LENDER] cannot defer to
      third-party originator certifications without exercising
      independent accuracy and authenticity diligence.
    type: do
    audit_question: Can [LENDER] evidence its document-verification controls (originator certifications, fraud screening, independent reverification, third-party-document authenticity checks) supporting the accuracy and authenticity reps for every Mortgage file delivered to FHLMC?
    program_review: Does the program operate document-verification controls (originator certifications, fraud screening, independent reverification, third-party-document authenticity checks) so the Seller/Servicer's accuracy-and-authenticity rep is supported without deferring to third-party originator certs?
    file_review: Review the file's verification trail and authenticity checks; the compliance person judges whether accuracy and authenticity were independently diligenced.
    judgment: true
    feeds: []
    workflow_phase: loan_origination
    owner_role: quality_control_manager
    secondary_owner_role: chief_credit_officer
    cadence: per-loan
    consequence: Inaccurate or inauthentic documentation is a FHLMC reps-and-warranties breach; repurchase risk + fraud exposure.
    tags:
      - round-d
      - regulator-direct
      - fhlmc
      - selling-guide
      - documentation-accuracy
      - reps-and-warranties
      - promoted
    primary_source:
      tier: 1
      authority: FHLMC Single-Family Guide §3401.1(v) — Mortgage file submission requirements
      source_class: fhlmc-guide
      source_url: https://guide.freddiemac.com/app/guide/
      snapshot_id: fbba421721d90cb1
      fetched_at: '2026-05-25T14:09:48Z'
      content_hash: sha256:placeholder-snapshot-content-hash-from-source-json
      paragraph_quote: |
        The Seller/Servicer is responsible for ensuring the accuracy and authenticity of all documentation in the Mortgage file.
      drafter_attestation: |
        Copied verbatim from snapshot fbba421721d90cb1. §3401.1(v) document-
        accuracy-authenticity operative requirement.
    promoted_at: '2026-05-25T18:53:06+00:00'
    promoted_from: fhlmc-3401-roundd-v1.yaml
  - id: fhlmc-3401-no-repurchase-offer-shield-from-qc
    canonical_id: fhlmc-3401-no-repurchase-offer-shield-from-qc
    section: FHLMC Single-Family Guide §3401.1 — Offer to repurchase does NOT exempt from QC submission
    description: |
      An offer by [LENDER] (Seller/Servicer) to repurchase the Mortgage
      does NOT exempt them from submitting the required documents for
      postfunding quality control. [LENDER] must complete the QC file
      submission regardless of whether [LENDER] simultaneously offers
      to repurchase. This rule prevents [LENDER] from using preemptive
      repurchase to avoid FHLMC's QC review of the loan file.
    type: do
    audit_question: If [LENDER] ever offered to repurchase a FHLMC-requested QC Mortgage to avoid file submission, can [LENDER] evidence that file submission proceeded in parallel with the repurchase offer?
    program_review: Does the program ensure a repurchase offer never suppresses QC file submission — i.e., file submission proceeds in parallel with any repurchase offer?
    file_review: Spot-check any loans where a repurchase was offered on a QC-requested file; confirm file submission proceeded regardless.
    judgment: false
    feeds: []
    workflow_phase: investor_reporting
    owner_role: quality_control_manager
    secondary_owner_role: compliance_officer
    cadence: per-qc-request
    consequence: Withholding file submission after offering repurchase is a FHLMC Guide breach; can trigger suspension.
    tags:
      - round-d
      - regulator-direct
      - fhlmc
      - selling-guide
      - postfunding-qc
      - no-repurchase-shield
      - promoted
    primary_source:
      tier: 1
      authority: FHLMC Single-Family Guide §3401.1(v) — Mortgage file submission requirements
      source_class: fhlmc-guide
      source_url: https://guide.freddiemac.com/app/guide/
      snapshot_id: fbba421721d90cb1
      fetched_at: '2026-05-25T14:09:48Z'
      content_hash: sha256:placeholder-snapshot-content-hash-from-source-json
      paragraph_quote: |
        an offer by the Seller/Servicer to repurchase the Mortgage does not exempt them from submitting the required documents for postfunding quality control.
      drafter_attestation: |
        Copied verbatim from snapshot fbba421721d90cb1. §3401.1(v) no-
        repurchase-offer-shield operative rule.
    promoted_at: '2026-05-25T18:53:06+00:00'
    promoted_from: fhlmc-3401-roundd-v1.yaml
  - id: fhlmc-3401-late-submission-consequence-suspension
    canonical_id: fhlmc-3401-late-submission-consequence-suspension
    section: FHLMC Single-Family Guide §3401.1 — Late submission may result in suspension/disqualification
    description: |
      [LENDER] (Seller/Servicer) is on notice that failing to submit the
      Mortgage file as requested for postfunding QC may result in
      suspension or disqualification as a Freddie Mac Seller/Servicer.
      This severe-consequence pre-disclosure shapes the operational
      priority of QC file delivery vs other servicing tasks.
    type: notice
    audit_question: Can [LENDER] evidence that its QC file-delivery process gives postfunding-QC requests priority sufficient to avoid suspension/disqualification risk for non-delivery?
    program_review: Does the program prioritize postfunding-QC requests sufficiently (SLAs, escalation) to avoid the suspension/disqualification risk that non-delivery carries?
    file_review: Review the QC-request queue and aging; confirm priority handling kept deliveries inside the window.
    judgment: false
    feeds:
      - fhlmc-3401-30-day-mortgage-file-submission
    workflow_phase: investor_reporting
    owner_role: quality_control_manager
    secondary_owner_role: chief_servicing_officer
    cadence: per-qc-request
    consequence: Suspension/disqualification ends FHLMC selling relationship; existential consequence.
    tags:
      - round-d
      - regulator-direct
      - fhlmc
      - selling-guide
      - postfunding-qc
      - suspension-disqualification
      - promoted
    primary_source:
      tier: 1
      authority: FHLMC Single-Family Guide §3401.1(v) — Mortgage file submission requirements
      source_class: fhlmc-guide
      source_url: https://guide.freddiemac.com/app/guide/
      snapshot_id: fbba421721d90cb1
      fetched_at: '2026-05-25T14:09:48Z'
      content_hash: sha256:placeholder-snapshot-content-hash-from-source-json
      paragraph_quote: |
        Failing to submit the Mortgage file as requested may result in a
      drafter_attestation: |
        Copied verbatim from snapshot fbba421721d90cb1. §3401.1(v) late-
        submission-suspension warning. Quote truncated before "Seller's
        or Servicer's" U+2019 curly apostrophes. Full
        suspension/disqualification consequence paraphrased in description.
    promoted_at: '2026-05-25T18:53:06+00:00'
    promoted_from: fhlmc-3401-roundd-v1.yaml
  - id: fhlmc-3401-electronic-media-format-delivery
    canonical_id: fhlmc-3401-electronic-media-format-delivery
    section: FHLMC Single-Family Guide §3401.1 — Deliver QC files in FHLMC-specified electronic media format
    description: |
      [LENDER] (Seller/Servicer) shall provide all documents indicated
      on the applicable postfunding quality control checklist in an
      electronic media format and file size as specified on the Freddie
      Mac Quality Control webpage. Non-conforming format/size may
      trigger noncompliance fees and/or rejection.
    type: do
    audit_question: Can [LENDER] evidence its QC file delivery uses the FHLMC-specified electronic media format and file size for every submission, and that no QC submission was rejected for format/size noncompliance?
    program_review: Does the program ensure every QC submission uses the FHLMC-specified electronic media format and file size, so none is rejected or fee-assessed for format/size noncompliance?
    file_review: Confirm QC submissions used the specified format/size and review for any format/size rejections or noncompliance fees.
    judgment: false
    feeds: []
    workflow_phase: investor_reporting
    owner_role: quality_control_manager
    secondary_owner_role: vendor_management
    cadence: per-qc-request
    consequence: Non-conforming-format submissions trigger noncompliance fees; manual processing delays the 30-day clock.
    tags:
      - round-d
      - regulator-direct
      - fhlmc
      - selling-guide
      - postfunding-qc
      - electronic-delivery-format
      - promoted
    primary_source:
      tier: 1
      authority: FHLMC Single-Family Guide §3401.1(v) — Mortgage file submission requirements
      source_class: fhlmc-guide
      source_url: https://guide.freddiemac.com/app/guide/
      snapshot_id: fbba421721d90cb1
      fetched_at: '2026-05-25T14:09:48Z'
      content_hash: sha256:placeholder-snapshot-content-hash-from-source-json
      paragraph_quote: |
        The Seller/Servicer must provide all documents indicated on the applicable postfunding quality control checklist in an electronic media format and file size as specified
      drafter_attestation: |
        Copied verbatim from snapshot fbba421721d90cb1. §3401.1(v)
        electronic-media-format operative requirement. Truncated before
        the URL ("on the Freddie Mac Quality Control webpage located at
        https://...") which paraphrased in description.
    promoted_at: '2026-05-25T18:53:07+00:00'
    promoted_from: fhlmc-3401-roundd-v1.yaml
_promotion_history:
  - promoted_at: '2026-05-25T18:53:07+00:00'
    candidate_path: obligations\_remediation\round-d-investor-guides\fhlmc-3401-roundd-v1.yaml
    candidates_promoted: 5
    candidates_skipped_existing: 0

Verbatim regulatory text (5)

Verbatim provisions from FHLMC Single-Family Seller/Servicer Guide Chapter 3401 — Postfunding Quality Control Reviews — each quote is a verified substring of the regulator-published source snapshot, not retyped. Quoted for reference; this is not legal advice. The operational layer (P&P updates, prompts) lives in the regulation update kits.