Just because a loan is closed doesn’t mean the process is over.

Post Closing, lenders preform QC reviews to ensure the loan continues to meet Fannie Mae, Freddie Mac, or other established guidelines, while also keeping an eye on all funded loans with monthly, quarterly, or annual evaluations.

Pre closing is all about quality assurance. Lender’s re-check an applicant’s credit score, employment, and financial activity to ensure they are still in good standing to receive the loan.

Lenders will often use undisclosed debt monitoring, refreshed credit reports, final employment verifications, and QC reviews.

During processing, a lender examines the information provided by the potential borrower, verifying assets, income, and employment.

Additional validations during processing include: appraisals, flood zone reporting, tax return verification, Social Security Number verification, and fraud screening.

In the application stage, consumers provide a lender with information about employment, education, income, spending, debts, and previous mortgages.

Lenders use this information to pull updated credit reports make more informed lending decisions.

Pre Qualification means the creditor has done at least a basic review of your creditworthiness to determine if you're likely to qualify for a loan or credit card.

Consumers initiate this process when they submit a pre qualification application for a loan or card.

Mortgage underwriting ensures lenders are making smart lending decisions by evaluating the risk of a potential borrower.

Underwriting is where loans are either approved or denied based on the verifications and any additional documentation requested.