With the high incidences of Fraud and Misrepresentation in the Single Family LoanOrigination business but most especially in the Wholesale Lending part of the business, evidence is overwhelming that most of the fraud and misrepresentation is perpetrated by a small segment of unscrupulous mortgage brokers and/or third party loan originators.

One of the quality control measures use to help mitigate losses from these unscrupulous brokers is to closely screen the approval process by verifying and Validating the information contained in the Broker's Application and to check them out thoroughly prior to doing business with them.

QC-MAC will verify and validate the information contained in the brokers application after receiving Proper authorization, the process includes the following:

• SSN Verification for principal
  (false identities).
• Government LDP and EPLS search.
• Industry Watch Lists (Freddie Mac).
• Lender/Industry Sanctions search.
• OFAC compliance with the U.S.
• Patriot Act, (Sect. 23).
• State Licensing agency current status
• State Licensing derogatory information
  (if state provides).
• National Fraud Protection Database review.
• Credit report on principals and company
  (if requested).
• Check References per application.
• Review documentation submitted by
  broker to ensure that all documents meet the lenders criteria and requirements.
• Provide a report of the findings for the
  lender to make the final decision to
  approve or disapprove.