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Originationmedium27% of exam

A processor compares the file facts with Underwriting and Credit Analysis during an underwriting condition review. Which conclusion is accurate?

Correct Answer

A) Verify the asset source before using the funds

Asset verification confirms funds to close, reserves, large deposits, and gift documentation. The best answer is "Verify the asset source before using the funds".

Answer Options
A
Verify the asset source before using the funds
B
Use unexplained large deposits as verified assets.
C
Ignore reserve requirements once the borrower has the minimum down payment.
D
Use business funds for closing without documenting access and impact on the business.

Why This Is the Correct Answer

Asset verification confirms funds to close, reserves, large deposits, and gift documentation. The best answer is "Verify the asset source before using the funds".

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