NEW IMPROVED NEW Guaranteed Underwriting System GUS URLA

NEW & IMPROVED NEW Guaranteed Underwriting System “GUS” & URLA Single Family Housing Guaranteed Loan Program (SFHGLP) January 2021

“LEGACY” “NEW” gus 3/1/2021 Present

The New URLA Updated to support the Revised automated underwriting system. CURRENT NEW Borrower Benefits: • • • Easier to complete Easier to understand Easier to apply 3

GUS Conversion Timeline: What’s Ne Submit Applications by COB for Processing Lenders May Continue to Submit Applications All SFHGLP Systems Unavailab Last Day for Legacy GUS All SFHGLP Systems Unavailab le

GUS Conversion Timeline: What’s Ne February 12, 2021 – Lenders are encouraged to submit complete applications by close of business! • The Agency anticipates it can process and issue Conditional Commitments for all complete applications received by close of business, February 12. • Lenders may continue to submit new applications in Legacy GUS through February 26. • USDA will accept and review applications but can not assure the completion of the review due to the expected continuation of backlogs from persistent high-volume levels. February 26, 2021 – Last Day for Legacy GUS! • Loans not finalized by USDA by close of business must be entered into New GUS for review. • Legacy GUS files will not transfer into the New GUS as these are two separate systems. February 27 -28, 2021 – GUS Unavailable!

GUS Conversion Timeline: What’s Ne Applicatio ns May Be Entered in New GUS

GUS Conversion Timeline: What’s Ne March 1, 2021 – New GUS Goes Live! • Legacy GUS will be placed in read-only mode. • Applications originated with the new URLA can be imported utilizing FNMA DU MISMO 3. 4 v 1. 8. 1 format. • Applications originated with the old URLA 1003 application have the following options: o Option 1 - Import using FNMA DU MISMO 3. 4 v 1. 8. 1 format OR manually enter all additional information and supporting documentation as required by the redesigned URLA. § Lenders may need to contact the applicant to obtain and document all additional information. o Option 2 - Submit the application as a manual underwrite. § NOTE: Underwriting requirements for manual submissions are different than GUS submissions and may affect your approval. § Visit the LINC library to view additional training modules that highlight

URLA Timeline URLA Utilized Present February 26, 2021 Beginning March 1, 2021 GUS Data Entries Application Submissio n Current 1003 URLA No change in Legacy GUS processing until February 26, 2021. Still submit utilizing the current Fannie Mae 1003 v 3. 2 flat file or the MISMO AUS v 2. 3 1 XML file. If Conditional Commitment is not received by close of business on February 26 th, the file will be released. Lender: Input application into New GUS. Several options available. Option 1: Import to New GUS using FNMA DU MISMO 3. 4 v 1. 8. 1 format OR manually enter all additional information and supporting documentation as required by the redesigned URLA. Option 2: Lender may choose to submit as a Manual Underwrite file; however, there is 8 a risk of rejection.

URLA Timeline URLA Utilized Present February 26, 2021 Beginning March 1, 2021 GUS Data Entries Application Submissio n New URLA Lenders already using the new URLA can submit through Legacy GUS. It can be submitted with the Fannie Mae 1003 v 3. 2 flat file or the MISMO AUS v 2. 3 1 XML file if your system allows OR can be entered manually. New GUS will accept imported file with redesigned URLA beginning March 1, 2021. No additional adjustments, information, or manual entry will be needed from the lender in “New” GUS beginning March 1, 2021. New GUS is USDA’s recommended and preferred process. 9

“New” GUS Testing New GUS Be prepared. Test it out! • Approved lenders are encouraged to participate in the Open Testing Period, November 2020 -February 2021. • Allows the lender to confirm the ability to export the FNMA DU MISMO 3. 4 v 1. 8. 1 file from their LOS/POS and import/upload the file into the New GUS Lender Test Environment. • Allows the lender to become familiar with the redesigned URLA and upload process. • Prepares the lender for when New GUS goes live on March 1, 2021 which will minimize any potential delays. • Allows feedback on real time scenarios as they arise so any possible issues can be 10

https: //www. rd. usda. gov/page/usda-linc-training-resourcelibrary Ready to test the “New” GUS? SUBMIT Here’s the Resources to Get You Started! For assistance, contact: SFHGSystem. Integra tion@usda. gov 11

https: //www. rd. usda. gov/page/usda-linc-training-resourcelibrary Be prepared. Avoid closing delays. Complete your training today! For assistance, contact: SFHGSystem. Integra tion@usda. gov 12

https: //www. rd. usda. gov/page/usda-linc-training-resourcelibrary Still have questions about New GUS or URLA? The USDA URLA FAQs is your go-to guide! Can’t find the answer? Contact us at: SFHGSystem. Integration@usda. gov 13

Lender Toolkit

Have a question on POLICY? Contact the PAC team! Need TRAINING? Contact the LPA team! Have a question on New GUS? Contact SFHGSystem. Integration@usd a. gov 15

https: //www. rd. usda. gov/page/sfh-guaranteed-lender HB-1 -3555 Lender Webpage Monitor posted turn times daily Contact Information 16

Be Prepared Sign Up for Gov. Delivery https: //public. govd elivery. com/accoun ts/USDARD/subscri ber/new? qsp=USD ARD_25 17

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• Click to edit Master text styles • Second level • Third level • Fourth level • Fifth level www. rd. usda. gov 1 (800) 800 -670 -6553 USDA is an equal opportunity provider, employer, and lender.