Fannie Bought $60B of 'Expanded Access' Loans

Last year, Fannie Mae purchased over $60 billion in subprime loans under its expanded access program, which also includes Timely Payment Rewards mortgages."That represents more than a 50% increase over 2001," Fannie Mae counsel Carol Evans told a National Community Reinvestment Coalition conference. Ms. Evans, who is responsible for ensuring compliance with Fannie's anti-predatory-lending policies, told the group that Fannie Mae conducts due diligence on all the lenders it purchases subprime loans from, and even samples loans to make sure they are complying with Fannie's guidelines. "Our goal is nothing less than transforming this market to a place where credit-blemished borrowers have access to credit at fair terms and at a fair price," Ms. Evans said. Fannie Mae can be found online at http://www.fanniemae.com.