FNMA Lender Letter LL-2026-04 — Governance framework on use of artificial intelligence and machine learning
Fannie Mae Lender Letter LL-2026-04, published April 8, 2026, "Effective: 120 days from publication" (≈ August 6, 2026). Requires Fannie Mae seller/servicers using AI/ML in origination or servicing to maintain policies and procedures (transparent, trustworthy/ethical, legally informed, risk-based, owner-reviewed at least annually), comply with the Information Security and Business Resiliency Supplement, govern subcontractor/vendor AI/ML no-less-protectively, and disclose AI/ML use to Fannie Mae on request. The 2-page letter does NOT enumerate "four pillars" or a named "AI inventory with fields" — those are operationalizations.
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Verbatim regulatory text
Verbatim provisions from FNMA Lender Letter LL-2026-04 — Governance framework on use of artificial intelligence and machine learning — 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.
FNMA LL-2026-04 — policies & procedures for AI/ML (transparent, trustworthy, legal-aware, risk-managed)
Have policies and procedures regarding the development, implementation, use and maintenance of any AI/ML system it utilizes, and the measuring and managing of AI/ML risks.
FNMA LL-2026-04 — named owner reviews the AI/ML policies at least annually
have an owner(s) that implements, maintains and reviews the policies and procedures at least annually to ensure they comply with applicable law and consistently reflects industry best practices.
FNMA LL-2026-04 — comply with the Information Security and Business Resiliency Supplement
Comply with the requirements in the Fannie Mae Information Security and Business Resiliency Supplement;
FNMA LL-2026-04 — govern subcontractor and vendor AI/ML, no less protectively
Manage risks and appropriate governance of subcontractor and vendor use of AI/ML that is no less protective of these requirements.
FNMA LL-2026-04 — disclose AI/ML use to Fannie Mae upon request
Upon request by Fannie Mae, the seller/servicer must promptly disclose the types of AI/ML used, the purpose and manner for such use, the safeguards the seller/servicer has implemented to mitigate risks related to the use of AI/ML, and such other information as Fannie Mae may require.
FNMA LL-2026-04 — AI/ML use must comply with applicable law and the Lender Contract
the seller/servicer must ensure compliance with applicable laws and the Lender Contract.
Fannie Mae Lender Letter LL-2026-04 — Artificial Intelligence and Machine Learning Governance Framework (full text)
© 2026 Fannie Mae LL-2026-04 Page 1 of 2 Lender Letter (LL-2026-04) April 08, 2026 To: All Fannie Mae Single-Family Sellers and Servicers Governance framework on use of artificial intelligence and machine learning This Lender Letter issues a governance framework for Fannie Mae Seller/Servicers’ use of artificial intelligence and/or machine learning in their origination and/or servicing practices. Given the evolving nature of these technologies, Fannie Mae continues to monitor ongoing developments and related requirements. Effective: 120 days from publication Governance framework on use of artificial intelligence and machine learning Artificial intelligence and/or machine learning (AI/ML) is rapidly reshaping the mortgage landscape, introducing new opportunities to enhance efficiency, strengthen risk management, and deliver more personalized customer experiences. At the same time, the pace of innovation brings heightened responsibility. As AI/ML models grow more complex and more deeply embedded in critical processes, seller/servicers must ensure these technologies are deployed safely, legally, ethically, and in alignment with Fannie Mae’s expectations. To the extent a seller/servicer uses AI/ML in connection with the origination of loans sold to or guaranteed by Fannie Mae or servicing loans on behalf of Fannie Mae, the seller/servicer must ensure compliance with applicable laws and the Lender Contract. In addition, the seller/servicer must: • Have policies and procedures regarding the development, implementation, use and maintenance of any AI/ML system it utilizes, and the measuring and managing of AI/ML risks. Policies and procedures must, at a minimum: o be transparent and communicated to appropriate personnel who have job responsibilities in areas that use AI/ML; o incorporate the characteristics of trustworthy and ethical AI/ML; o reflect an understanding of legal and regulatory requirements regarding AI/ML; o reflect risk management activities based on the lender’s risk tolerance; and o have an owner(s) that implements, maintains and reviews the policies and procedures at least annually to ensure they comply with applicable law and consistently reflects industry best practices. • Comply with the requirements in the Fannie Mae Information Security and Business Resiliency Supplement; and • Manage risks and appropriate governance of subcontractor and vendor use of AI/ML that is no less protective of these requirements. Upon request by Fannie Mae, the seller/servicer must promptly disclose the types of AI/ML used, the purpose and manner for such use, the safeguards the seller/servicer has implemented to mitigate risks related to the use of AI/ML, and such other information as Fannie Mae may require. © 2026 Fannie Mae LL-2026-04 Page 2 of 2 Lenders may contact their Fannie Mae Account Team if they have questions about this Lender Letter. Servicers who have questions may contact their Fannie Mae Servicing Manager or Fannie Mae’s Single-Family Servicer Resource Center at 1-800-2FANNIE (1-800-232-6643). Have Guide questions? Get answers to all your policy questions, straight from the source. Ask Poli.
Operationalizing FNMA Lender Letter LL-2026-04 — Governance framework on use of artificial intelligence and machine learning
This is verbatim, source-snapshotted regulator text from the Claude for Compliance open corpus. To turn a rule like this into compliance work product: gap-analyze your policies and procedures (P&Ps) against these requirements to surface stale, conflicting, or missing provisions; operationalize any change with a ready-to-run update kit; and produce audit-ready evidence — every step grounded only in the regulator’s own words, never invented.
To work from the whole rulebook rather than this one page: download the corpus — every register on this site, verbatim, each with its source snapshot and effective date — then follow the methodology. It asks your assistant to answer only from the downloaded text, cite the register id and effective date it used, and tell you when the corpus does not cover something instead of filling the gap from memory. Running it locally also means no one sees which regulations you are looking at.
Source of record: https://claudeforcompliance.com/regs/fnma-ll-2026-04/
· register fnma-ll-2026-04 · Claude for Compliance. Free to read and download;
see regulatory updates and methodology.