Fannie Mae DU Validation Service to Discontinue Use of Manual Reports for Validating Employment and Income

Fannie Mae recently announced that the Desktop Underwriter (DU) validation service will discontinue validation of employment and income using new manual verification reports received on or after October 17, 2020.  The Fannie Mae release states that this announcement does not make any changes to employment and income validation using automated verification reports.

Lenders may continue to use third-party employment verification vendors to obtain income and employment information without validation from DU in accordance with the requirements contained in Section B3-3.1-02 of the Fannie Mae Selling Guide.