# Gee I wonder Why thay cant get anyone to service FNMA Properties



## Splinterpicker (Apr 18, 2012)

*Following is an important update which covers an issue that affects AFAS and our vendors. It is the source of many recent chargebacks/debit adjustments: Servicing Errors.*

*Servicing Error*


_Servicing Error_: Failure to adequately perform required maintenance, or causing a delay in reporting and bidding damages, on a Fannie Mae (FNMA) property, per the FNMA servicing guidelines. 

Field service companies such as AFAS and subsequently their vendors can be held responsible for Servicing Errors and may be accountable for the cost to remediate the failure, *which could possibly exceed* the original bid scope and amount. If a bid is declined by FNMA as the result of a Servicing Error, the work must be cured at no cost to FNMA. 

Once a Servicing Error occurs, the guidelines stipulate that the work scope can no longer be only to stop or halt additional damage; now, the work scope must be a complete cure of the damages. The work must now encompass curing the area of concern _as well as the source of the issue_. 

For example:

Ø An original bid would be to “treat the discolored drywall in kitchen.” 

o However, in this example, the bid was submitted late to AFAS. 

§ Now, a Servicing Error occurs, and the work must be completed as follows: 
· Remove the discolored drywall; 
· Treat the studs;
· Properly replace the drywall; and 
· Fix the source of the discoloration, i.e. repair the leaking pipe behind the drywall.

*AFAS has experienced an increase in the amount of Servicing Errors that we are receiving from FNMA. *
*Please carefully review the following information.*


Ø When an issue is found on a FNMA property (i.e.: a hazard or damages), AFAS has 15 total days to submit a bid to remedy this issue. 
o This _includes_ the amount of time required to process your bid after our receipt. 
Ø The *Date of Discovery* is established as the date that the issue was first identified – the first day that the vendor (or another) found and photographed the issue. 
o *THIS IS DAY 1,* and our collective clock begins ticking.
· If a bid is not submitted to FNMA by day 15, FNMA will require that the issues are fixed at cost. 
o *If the delay was caused by AFAS not receiving the bid from our vendor in a reasonable amount of time (less than 10 days from Date of Discovery), then we will require that our vendor remedy the issues at no cost. *

*The most common situation resulting in Servicing Errors is **discoloration**.*​

*Here are some additional notes outlining the most common issues leading to servicing errors:*


· *Photos* – Photos do not support the bid scope; photos are not uploaded upon submission of the bid; photos are blurry and unclear.
· *Pricing* – Bids received do not follow standardized pricing. Please remember that AFAS verifies bids against Xactware. Processing bids through Xactware maintains compliance to AFAS pricing and minimizes delays. Xactware is a customary and reasonable bid guideline, scope, and pricing service that is accepted throughout the construction and insurance restoration industry as well as FNMA.
· *Scope of work* – Bids are not returned with requested or required scope. For example: a bid was provided to AFAS by our vendor to bleach/kilz discolored drywall, but the bid request was to _remove/replace_ the drywall and treat the studs with bleach/kilz. The lack of adherence to scope caused a delay, and subsequently, a Servicing Error. 
· *Bid details* – Pertinent information is missing on bids. For example, 
1. square footage…dimensions…locations…materials required…source of damages (especially for discoloration)
2. This is all specific and required information that any customer would expect to be contained within a bid for any residential repair, regardless of size. 

The ownership is in your hands. All Servicing Errors caused by vendor fault will be remedied with the cost allocated to the responsible vendor. If the responsible vendor cannot perform the work scope required by the Servicing Error, then a competing vendor will be assigned, and the offending vendor will be debited the cost to remedy the failure.​






NO YOU WROTE OR ACCEPTED THE CONTRACT YOU OWN IT AFAS I AS AN INDEPENT CONTRACTOR HAVE THE RIGHT TO WALK!!​


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## BamaPPC (May 7, 2012)

wow :blink:

I wonder if walmart is hiring? I could be a greeter :thumbsup:


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## STARBABY (Apr 12, 2012)

5 Brothers has been doing this for years


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## Wannabe (Oct 1, 2012)

Just some thoughts......

In partial reality it appears that the P&P contractor is actually being an Insurance Inspector for an Insurance Claim. FNMA has "X" number of days to submit an Insurance Claim to the CPI Policy--each State has different requirements as far as filing the Notice of Loss but this is normally 15-30 days from acquisition of the property. 

With that being said nearly every Insurance Company accepts Xactware (Xactimate) estimating software. Us insurance adjusters use Xactimate everyday. So IF you the P&P Contractor is going out and completing an inspection and the estimate for damage that is going to be submitted to the Insurance Company for reimbursement does that not sound like you are being the Field Adjuster?

So if you think that does sound like a Field Adjuster then what about your State Insurance Licensing requirements for Adjusting? Obviously the pay for the Adjusting would be a heck of a lot better than filling out all the paperwork and estimates for basically free as it is now.... I wonder if someone ought to contact the State Insurance Dept for a ruling on "unlicensed Insurance Adjusting" and see what they would say. Not all State Require a license to be the adjuster but I believe 43 States do.....

Just a thought


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## GTX63 (Apr 12, 2012)

BamaPPC said:


> wow :blink:
> 
> I wonder if walmart is hiring? I could be a greeter :thumbsup:


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## cover2 (Apr 3, 2013)

Every time I see b/s like this it just reaffirms my decision to get out of this circus!!


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## westcoast Man (Jan 6, 2014)

We got this email a few days ago as well. So basically you are doing a PCR for free and if you miss something you will be expected to do it for free or get a chargeback on something that doesnt pay any way. LOL 

Economics 101 - Principle of opportunity cost

Option A - spend gas and time to get to property, take pics, report to company and get paid $0 and have the possibility of a charge back or being asked to do more work for free

Option B - Spend gas to drive to lake, spend day fishing, enjoy oneself, worse case scenario get a few bug bites and catch nothing, without any risks of additional losses from chargebacks or having to do any work for free

HMMMMMMMMM


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