source:
  type: regulation
  id: fnma-sel-b3-2-02
  authority: "FNMA Selling Guide B3-2-02 — DU Validation Service"
  description: 'FNMA Selling Guide B3-2-02 governs lender use of the Desktop

    Underwriter (DU) validation service for income, employment, and

    asset validation. Two foundational rules: the service is OPTIONAL

    (lenders not required to participate) AND lenders may NOT compel

    borrowers to participate. The borrower-no-compulsion rule prevents

    DU validation from becoming a de facto borrower mandate.

    '
obligations:
- id: fnma-sel-b3-2-02-may-not-require-borrower-to-participate
  canonical_id: fnma-sel-b3-2-02-may-not-require-borrower-to-participate
  section: "FNMA Selling Guide B3-2-02 — Lender may not require borrower to participate in DU validation service"
  description: '[LENDER] shall NOT require a borrower to participate in the DU

    validation service as a condition of loan underwriting. While

    [LENDER] itself may choose to use the optional DU validation

    service for the loan, that choice cannot be conditioned on or

    imposed upon the borrower''s consent or participation in any

    third-party data-sharing arrangement.

    '
  type: refrain
  audit_question: For every DU-underwritten loan, can [LENDER] evidence that no borrower was conditioned to participate in the DU validation service as a prerequisite to underwriting consideration (e.g., reviewing loan-application terms, vendor consent forms, and underwriting workflow)?
  workflow_phase: loan_origination
  owner_role: underwriting_manager
  secondary_owner_role: compliance_officer
  cadence: per-borrower
  consequence: Forcing borrower DU-validation participation could be a UDAAP / consent issue plus a FNMA reps-and-warranties breach.
  tags:
  - round-d
  - regulator-direct
  - fnma
  - selling-guide
  - du-validation-service
  - borrower-consent
  - no-compulsion
  - promoted
  primary_source:
    tier: 1
    authority: "FNMA Selling Guide B3-2-02 — DU Validation Service"
    source_class: fnma-guide
    source_url: https://singlefamily.fanniemae.com/media/document/pdf/selling-guide
    snapshot_id: 5f7b8b79da595d76
    fetched_at: '2026-05-25T14:09:57Z'
    content_hash: sha256:placeholder-snapshot-content-hash-from-source-json
    paragraph_quote: 'may not require a borrower to participate in the DU validation service.

      '
    drafter_attestation: 'Copied verbatim from snapshot 5f7b8b79da595d76. B3-2-02 lender-

      may-not-require-borrower-DU-validation operative clause.

      '
  promoted_at: '2026-05-25T18:35:18+00:00'
  promoted_from: fnma-sel-b3-2-02-roundd-v1.yaml
  program_review: Does the program ensure no borrower is required to participate in the DU validation service as a condition of underwriting?
  file_review: For DU-underwritten loans, review application terms and vendor-consent forms; confirm no borrower participation was conditioned as a prerequisite.
  judgment: false
- id: fnma-sel-b3-2-02-asset-verification-12-months-minimum
  canonical_id: fnma-sel-b3-2-02-asset-verification-12-months-minimum
  section: "FNMA Selling Guide B3-2-02 — Asset verification report 12-month minimum for income/employment validation"
  description: 'If [LENDER] is using an asset verification report to validate

    income or employment via the DU validation service, [LENDER] shall

    order an asset verification report containing a minimum of 12

    months of data. This minimum coverage ensures the validation

    window captures enough transaction history to support income/

    employment reliability inferences.

    '
  type: do
  audit_question: For every loan where [LENDER] used an asset verification report to validate income or employment via DU, can [LENDER] evidence the report covered at least 12 months of data?
  workflow_phase: loan_origination
  owner_role: underwriting_manager
  secondary_owner_role: loan_processor
  cadence: per-du-validation-loan
  consequence: Under-12-month asset reports cannot validate income/employment; reps-and-warranties breach risk if relied upon for DU validation.
  tags:
  - round-d
  - regulator-direct
  - fnma
  - selling-guide
  - du-validation-service
  - asset-verification
  - 12-month-minimum
  - promoted
  primary_source:
    tier: 1
    authority: "FNMA Selling Guide B3-2-02 — DU Validation Service — Asset Verification Reports"
    source_class: fnma-guide
    source_url: https://singlefamily.fanniemae.com/media/document/pdf/selling-guide
    snapshot_id: 5f7b8b79da595d76
    fetched_at: '2026-05-25T14:09:57Z'
    content_hash: sha256:placeholder-snapshot-content-hash-from-source-json
    paragraph_quote: "the lender must order an asset veriﬁcation report with a minimum of 12\n"
    drafter_attestation: "Copied verbatim from snapshot 5f7b8b79da595d76. B3-2-02 asset-\nverification 12-month-minimum operative clause. Quote uses U+FB01\nfi-ligature in \"veriﬁcation\" matching the PDF extraction. Tail\n(\"months\") paraphrased in description.\n"
  promoted_at: '2026-05-25T18:35:18+00:00'
  promoted_from: fnma-sel-b3-2-02-roundd-v1.yaml
  program_review: Does the program ensure that when an asset verification report validates income/employment via DU, the report contains at least 12 months of data?
  file_review: For loans using an asset verification report for income/employment validation, confirm the report covered ≥12 months.
  judgment: false
_promotion_history:
- promoted_at: '2026-05-25T18:35:18+00:00'
  candidate_path: obligations\_remediation\round-d-investor-guides\fnma-sel-b3-2-02-roundd-v1.yaml
  candidates_promoted: 2
  candidates_skipped_existing: 0
