Interface_Requirements_Question_33-_R33.pdf

ATTACHMENT A to Q&A Round 2 Response to Question 33

Interface Requirements

In order to clarify the unique nature of the federal Government’s HECM requirements which may differ from current non-Federal government practices, the following general information is provided.

The Government has several unique interface requirements that the HECM Business Service Solution must provide. The major interfaces take place between the following systems and include, but are not limited to, data flows between:

CHUMS and the HECM BSP solution FHA-SL and the HECM BSP solution Treasury and the HECM BSP solution GNMA (RFS) and the HECM BSP solution NSC LSC/HUD-approved Third Party Providers and

Vendors and the HECM BSP solution HECM BSP solution to SFDW

CHUMS

The Computerized Homes Underwriting Management System (CHUMS) is the Department’s system of record and source of operational information for all FHA Single Family mortgage insurance applications and endorsement activity. It is currently hosted on a Unisys Mainframe and has a web-based front-end processing tool (the FHA Connection). All FHA-approved mortgagees (originators, servicers, holders, and investors) are required to use the FHA Connection. Data entered into the FHA

Connection updates CHUMS and in turn CHUMS returns specific data back to the user.

CHUMS incorporates several different processing edits and calculators (CHUMS Desktop Calculator; HECM Desktop Calculator) to ensure, calculate, and validate compliance with FHA’s unique HECM regulations. CHUMS utilizes two critical tables – the Principal Limit Factor Table (PLF) and the HECM Mortgage Insurance Premium Factor Reference Table – to look up rates and factors in effect at the time a HECM loan is underwritten and during the case management/loan servicing life cycle. If lender-entered data fail any of the CHUMS edits, the lender is alerted to this via the FHA Connection web-based screens and the information must be corrected before further processing can continue.

CHUMS data is transferred via automated bilateral interfaces in a flat file format on a daily basis. The exact fields in these interfaces are created depending on the system receiving the data and whether the information is initial pre-endorsement/endorsement or a subsequent change to existing CHUMS data.

Key data fields in CHUMS include:

FHA Case Number Product Type Sales Price Prior FHA Case Number Borrower Name Borrower SSN

Borrower Date of Birth Property Address Create Date Lender Name Maximum Claim Amount (MCA) Property City, State, Zip Code Interest Rate at Closing Expected Interest Rate Rate Type Index Type Margin Closing Date Pay Plan Type Pay Plan Term in months Original Principal Limit Initial Mortgage Insurance Premium (IMIP) Total

The HECM Business Service Provider’s solution must create additional fields that support FHA’s unique HECM case management requirements. A partial list of these additional actions and fields will include:

Servicing Actions and Timelines State-specific requirements Servicer requests Checklist to track missing documents and missing steps Name, vendor id, EIN number, dollar amount paid, date paid, account/policy number, purpose of payment (insurance, HOA fees), etc.

Vendor information

Repayment plan: current status, term, amount of monthly payment, due date, repayment transactions, and balances

Authorized over-allowable preservation and protection expenses

Annual Occupancy Occupancy status Occupancy Inspection Interest rate changes Loan indemnification (date, holder, etc.)

HECM Repair Set-Asides Loss Draft Administration Hardest Hit Funds Available Line of Credit Negative line of credit reach Loan payoff amount Bankruptcies Claim type Claim payment amount Amount of claim payment offset Allowable expenses Corporate advances Loan Acceleration Refund amount of IMIP and/or MMIP Due and Payable Authorized, FHA-approvals for extensions

FHA-SL

The FHA Subsidiary Ledger (FHA-SL) is FHA’s official system of record of financial transactions and is FHA’s core financial system. The FHA-SL produces FHA’s audited financial statements, provides funds controls for all FHA financial operations, and supports the FHA Comptroller’s cash management and contract accounting functions. The FHA Subsidiary Ledger integrates all of FHA’s financial operations through interfaces with the systems that perform underwriting, servicing, and post insurance operations for FHA’s insurance programs.

The FHA-SL sends financial data to the US Department of Treasury, CashLink, Fedwire, RFCLink, and PAY.GOV. These systems – in addition to the HECM Business Service Solution – send data to the FHA-SL using specific data fields referred to as Chartfields which are part of the FHA-SL’s PeopleSoft COTS Financials and Revenue Management software.

Treasury The HECM Business Service Solution must be able to send financial data to the US Department of Treasury, CashLink, Fedwire, RFCLink, and PAY.GOV. The data file formats for these interfaces are found on the Bureau of the Fiscal Services’ website: http://fiscal.treasury.gov/fsservices/fs_services.htm.

RFS

The Reporting and Feedback System (RFS) is GNMA’s system of record for GNMA’s Mortgage-Backed Securities (MBS) unique reporting and feedback functionality. RFS supports centralized data collection for all MBS post settlement accounting and reporting and receives data via secure file transfer protocol.

http://fiscal.treasury.gov/fsservices/fs_services.htm

Key data fields in the RFS interface include, but are not limited to:

FHA Case Number Case Status Established Date Closing Date Endorsement Date Interest Rate Interest Rate Adjustment Date Margin Rate Ten Year Interest Rate Rate Type Borrower Name Borrower SSN Borrower Date of Birth Property Address Maximum Claim Amount (MCA) Service Fees Initial Principal Limit Line of Credit Set Aside Termination Type Investor Number Claim Paid Date Case Sub-Status

NSC LSC and LSC Third Party Providers and Vendors Interfaces with the National Servicing Center’s Loan Servicing Contractor and NSC LSC’s Third Party Providers and Vendors include:

FERETS for tax monitoring REKON for mortgage lien releases BANKO for death and bankruptcy data Bulk Imaging Banking Institutions using NACHA file formats

The data fields in these interfaces are similar to those described for CHUMS.

SFDW

The Single Family Data Warehouse (SFDW) is the key source of Single Family data and is an integrated data warehouse that contains critical Single Family business data from FHA’s Single Family automated systems including the HECM Business Service Solution. The SFDW allows queries and provides reporting tools to support oversight activities, market and economic assessment, public and stakeholder communication, planning and performance evaluation, policies and guidelines promulgation, monitoring and enforcement. The data fields in the interface from the HECM Business Service Solution to the SFDW are similar to those described for CHUMS.