Flexible Merged Credit Report Options
Merged Credit Report Options in LoanProspector.com Offer Greater Flexibility and Lower Costs

• Benefits
• How it Works
• Using with FHA TOTAL Scorecard
• Reference Number Details
• Other Merged Credit Features
• Costs
• Getting Started
• Training Resources

Our flexible merged credit report options allow you to easily and more cost-effectively access merged credit reports provided by participating credit reporting companies (CRCs) or their affiliates through Loan Prospector®.

Loan Prospector Merged Credit Report Options Allow You to:

• Order merged credit reports, from a participating CRC or affiliate, through LoanProspector.com before submitting your loan for assessment.
• Use a Reference Number to access merged credit reports previously ordered from a participating CRC or affiliate outside of LoanProspector.com.
• Submit loans to LoanProspector.com using multiple merged credit report Reference Numbers, making it easier for you to assess loans with several borrowers in Loan Prospector. With the capability to use up to five Reference Numbers, both joint and single, you can use Loan Prospector for more of your borrower scenarios, including conventional and FHA loans.

Benefits

Streamline your process

• Make more informed decisions earlier in the process by reviewing merged credit reports up front through LoanProspector.com
• Ensure data integrity by using the same credit data for review and assessment

Save money

• Receive a reduced Loan Prospector assessment fee—when you obtain a merged credit report, from a participating CRC through LoanProspector.com
• Eliminate costs associated with ordering duplicate credit reports by using a Reference Number

How it Works

Using with FHA TOTAL Scorecard

If you originate FHA loans you are required to order merged credit reports from a participating CRC through Loan Prospector for the FHA TOTAL Mortgage Scorecard. The Reference Number feature in LoanProspector.com makes submitting loans to the FHA TOTAL Mortgage Scorecard easier and more cost effective for you. The process for using the Reference Number feature in LoanProspector.com for FHA loans is different than the process for conventional and VA loans. Click here for details about using the Reference Number feature on FHA loans.

Reference Number Details

In Loan Prospector, the credit report identifier is called a Reference Number. CRCs use different terms for their credit report identifiers, which also vary in format and location on merged credit reports. Please refer to the following list of CRC terms to locate the credit report identifier to enter in the Loan Prospector Reference Number field.

Assess More Loans with More Borrowers Using Multiple Reference Numbers

Here are some important things to keep in mind when using multiple Reference Numbers:

• You can use up to five merged credit report Reference Numbers, matching the maximum number of borrowers you can submit to Loan Prospector.
• The five Reference Numbers can include a combination of joint and individual reports.
• You'll find feedback for each of the Reference Numbers on the Full Loan Prospector Feedback Certificate.
• If your CRC charges a fee to use a Reference Number in Loan Prospector, you will be charged that fee for each Reference Number you submit. For example, if you use three different Reference Numbers and your CRC charges a $1 Reference Number fee, your total fee will be $3 for that submission.
• If you order merged credit only, you can have some borrowers with a Reference Number and some without a Reference Number.
• If you order an AUS assessment with a Reference Number and have multiple borrowers, all borrowers must have a Reference Number (joint or single). If all borrowers do not have a Reference Number, you'll first need to order merged credit only to obtain the Reference Numbers. Once you've done this, you can order an assessment with Reference Numbers for all borrowers.

More Choices that Work the Way You Work

Save Time and Eliminate Re-Keying with Machine-Readable Format Option

Streamline your process and eliminate re-keying with our machine-readable format option if you're using a verified browser two-way system or our most recent version of our system-to-system access method. Here's what you'll need to do to take advantage of this new enhancement:

• Browser two-way users: This option will dynamically appear on the Request Services page in the Merged Credit section. Simply select the machine-readable option. Once your results are final, you'll need to select the Send to Your System button to have your merged credit data directly exported to your LOS.
• System-to-system users: Simply select the SERVICE_REQUEST_Description: OrderMergedCreditAll option in your LOS or custom interface.

Loan Prospector will still also display the existing print format merged credit report. Loan Prospector will send the machine-readable format to your LOS but will not display it. Before using this option, you'll want to check with your LOS vendor to determine if your LOS has the ability to receive this data from Loan Prospector. This feature is available only at the transaction level. You will need to order this option only on the first submission; we do not advise that you order it on resubmissions unless necessary.

If you're using Loan Prospector to obtain merged credit reports before assessing your loan in Loan Prospector, you'll no longer have to search for details regarding your merged credit request. With our Merged Credit Certificate, you find this information in one easy-to-locate spot. You'll find the following information on the Merged Credit Certificate:

• Borrower and Loan Identifier Information
• Merged Credit Status
• Credit Information (including information for each of the applicable borrowers and if credit has been re-pulled or re-accessed for each of those borrowers)
• Transaction Information
• Assignment Information
• Number of Submissions (the number of times a merged credit request has been submitted for the loan

Look for the Merged Credit Certificate in the Results section of Loan Prospector. You'll only see the Merged Credit Certificate if you have requested merged credit only and your Merged Credit status = Complete. If you request merged credit only and the status = Incomplete or Invalid, the Merged Credit Certificate will only display the applicable errors. You will not find the full merged credit report on this certificate. The full merged credit reports can be found in the Results section of the LP Feedback Certificate.

We understand that it's important for you to know exactly how Loan Prospector handles your merged credit request. That's why for every Loan Prospector submission that you use merged credit with, you'll find helpful feedback in the a Credit Report Information section of the Full Loan Prospector Feedback Certificate, to alert you when Loan Prospector re-accesses or re-pulls credit. If you're using multiple Reference Numbers, you'll also find messages to help you determine the Reference Number for each one of your borrowers, making it easier for you to track the credit information for each borrower.

Costs

Reduced Loan Prospector Assessment Fee

The Loan Prospector assessment fee is reduced to $15 for LoanProspector.com customers on all loan types – conventional, FHA and VA – when you obtain a merged credit report from a CRC or affiliate through Loan Prospector, or use a Reference Number from a participating CRC when you submit your loan to LoanProspector.com for assessment.

Credit Reporting Company Fees

Loan Prospector's participating CRCs charge standard fees for merged credit reports. The fees are billed by the CRC and appear as a separate line item on your Loan Prospector invoice. Some CRCs also charge a fee when the Reference Number is used to access previously ordered merged credit reports. The Reference Number fee will also appear as a separate line item on your CRC invoice.

If you have questions or issues about your merged credit charges, you'll need to contact your selected CRC.

Please note: The credit repositories have new fees associated with the secondary use of credit report data that may be passed on to you by the CRCs. As a result, beginning with your first 2008 monthly billing invoice from your CRC, you may see the new secondary credit use merged credit fees, if applicable. Timing and fees will depend on your selected CRC.

Avoiding Unnecessary Fees

When you're using the merged credit options in Loan Prospector there are a few key points to remember to avoid incurring unnecessary fees.

• Ensure merged credit reference numbers are included on resubmissions. If you resubmit a loan to Loan Prospector with the Merged Credit box selected, the CRC may charge you for a new merged credit report unless the Reference Number is also entered.
• If you change critical borrower data you'll need to order a new merged credit report
• Do not check the Merged Credit box on resubmissions
• If the Reference Number is entered, you may be charged a Reference Number Fee (depending on the CRC you select.)

Getting Started

More Information & Training Resources

• Merged Credit Options factsheet [PDF 104K]
• Check out our Frequently Asked Questions
• Using Merged Credit Report Options in Loan Prospector
• Check out training materials about Loan Prospector functionality on FreddieMac.com