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§225.352. Quality control standards.

12 C.F.R. § 225.352

Mortgage originators and secondary market issuers that engage in credit decisions or covered securitization determinations themselves, or through or in cooperation with a third-party or affiliate, must adopt and maintain policies, practices, procedures, and control systems to ensure that automated valuation models used in these transactions adhere to quality control standards designed to:
(a)
Ensure a high level of confidence in the estimates produced;
(b)
Protect against the manipulation of data;
(c)
Seek to avoid conflicts of interest;
(d)
Require random sample testing and reviews; and
(e)
Comply with applicable nondiscrimination laws.
Notes, amendments, and revision history

Source

Source: 89 FR 64573, Aug. 7, 2024, unless otherwise noted.

Authority

Authority: 12 U.S.C. 1817(j)(13), 1818, 1828(o), 1831i, 1831p-1, 1843(c)(8), 1844(b), 1972(1), 3106, 3108, 3310, 3331-3351, 3354, 3906, 3907, and 3909; 15 U.S.C. 1681s, 1681w, 6801 and 6805.

Source

Source: Reg. Y, 49 FR 818, Jan. 5, 1984, unless otherwise noted.