Correspondent Client Guide Changes

November 25, 2019

Gateway has recently made a few updates to our Client Guide.  A quick summary of those changes are listed below with direct links to each section where the changes are located.  As a reminder, updates to our guidelines are highlighted in red to easily and quickly see what has been updated.

Chapter 1 – Doing Business With Us

Under the  Other Helpful Information section  – updates to the Hazard and Flood Clause and the Mortgage Insurance & Title Information are listed on Page 7.

Chapter 2 – Eligible Mortgage Loans

The Disaster Policy has been updated to include the following:

FEMA categorizes Disasters in two ways:

  • Individual Assistance: Assistance to individuals and households
  • Public Assistance (PA): Disaster grant assistance available for communities to quickly respond to and recover from major disasters or emergencies declared by the President
  • A “Declared Disaster” for the purpose of this policy includes ONLY Individual Assistance

Chapter 4 – Loan Delivery and Purchase Policies

Updates to the Note Endorsement or Allonge Section  on page 8 – endorsements must be to Gateway Mortgage Group, a division of Gateway First Bank.

The section on Flood Insurance has also been updated on page 20.

The Flood Insurance Carrier must be either a NFIP (National Flood Insurance Program) or a WYO (Write Your Own) https://www.fema.gov/wyo_company or a private policy and additionally must meet all applicable investor/agency requirements and meet NFIP equivalent required coverage.

Note: If the mortgage on the property is FHA, a private policy is NOT acceptable (per FHA guidelines). Additionally, for all other loan programs Gateway may require a copy of the actual private policy in order to review the terms of said policy as needed (this will be mandatory for Fannie Mae and Freddie Mac loans).  Additional updates to our flood policy are noted in the client guide.

Additionally – Please note on page 28 that Gateway now requires a Complete delivery of a Flood Policy with mortgagee clause reading as set forth in Chapter 1 of the Guide within 5 business days.    Mail Loan Sale and Servicing Transfer notice to insurers, including but not necessarily limited to:  Hazard, including fire, wind, condominium or PUD master and HO-6.

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