Ensuring quality control of your loans, during the lending process and after closing will create fiduciary stability of your company by reducing the potential of loan buy backs and loan repurchases. You will also develop a good reputation in the industry once you have established mortgage quality control procedures for your company. Establishing a solid repurchase defense by establishing a good quality control program. The best repurchase defense is giving your QC department the flexibility to establish policies and procedures on the front end in order to reduce the time and energy in rebutting and responding to loan buy back and repurchase claims and letters.

With good qc plans in place your business will begin to see savings from the review process, and see the savings from the potential loss of repurchase claims. With the proper mortgage quality control procedures in place your mortgage operation will also see the value from the origination of loans when applying for additional lines of credit and be able to see tangible matrix of loan performances as a result of post closing quality control. It is very hard to determine the exact costs of small mistakes made throughout the loan process, however, by having a good quality control plan in place you can reduce the number of tiny mistakes that may result in law suits and loan buy backs. Every problem may not impact the actual loan, but each mistake does indicate that your company may be sloppy, which in turn can impact the risk of litigation, regulatory fines, and loan repurchase. Avoid these problems by establishing unique quality control procedures. Mortgage bankers, loan investors and traditional mortgage lenders can benefit from a good quality control plan.