---
kind: "section"
citation: "12 C.F.R. § 323.17"
title: "12"
number: "323.17"
heading: "Quality control standards."
url: "https://uscodex.org/cfr/12/323.17"
---

# §323.17. Quality control standards.


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

### Source

Source: 89 FR 64574, Aug. 7, 2024, unless otherwise noted.

### Authority

Authority: 12 U.S.C. 1818, 1819(a)(“Seventh” and “Tenth”), 1831p-1 and 3331 et seq.

### Source

Source: 55 FR 33888, Aug. 20, 1990, unless otherwise noted.