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PINE BROOK, N.J. – CU National Mortgage, a division of US Mortgage, that works exclusively with credit unions and members throughout the U.S. is now selling mortgages on the secondary market to Fannie Mae for credit unions through its new correspondent lending program. CU National Mortgage’s Jill Peterson, VP, marketing said many credit unions that are involved with mortgage lending want to handle as much of the mortgage process themselves, “but they don’t have the volume to merit good pricing on the secondary market. You can’t expect to deliver 20 or 30 loans a month and get good pricing or programs on the secondary market. By asking us to sell their loans on the secondary market for them, we can give these credit unions access to the secondary market and help them earn high servicing release premiums.” Credit unions that use CU National Mortgage’s Correspondent Lending program will take members’ loan applications and process the origination using Prime Alliance origination technology that uses Fannie Mae’s Desktop Underwriting system. When the loan is approved by Prime Alliance, the credit union will complete the processing of the loan and close it. At that point, they’ll send the loan package to CU National Mortgage to sell on the secondary market. As a Prime Alliance partner, CU National Mortgage Correspondent credit unions will have access to PA origination technology, as well as an underwriting and pricing engine CU National Mortgage is developing for non-conventional loans. “Not every credit union will be interested in correspondent lending,” says Peterson. “There will be some that prefer to sell direct on the secondary market or by using direct seller servicers. While we have some credit union clients that are over a billion in assets, most of our clients are mid-size credit unions that have the staff and capability to originate, process and close loans but want us to sell those loans for them on the secondary market.” CU National Mortgage has relations with 60 CUs, predominantly on the East coast ranging in size from $312,000 in assets to $2.5 billion. Though its new correspondent lending program was not even a week old at press time, Peterson said she expects the program to take off “fairly quickly” because its credit union clients have been asking the company to enter the correspondent market. -

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