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40 FANNIE UNLOADS 10,000-PLUS LOANS Fannie Mae disclosed the result of its fourth re-performing loan sale recently. e deal was originally announced back on August 10 and included 10,700 loans totaling an unpaid principal balance (UPB) of $2.43 billion. e loans were divided up into three pools, broken down in the following three ways: e first pool consisted of 4,200 loans with an UPB of $984,619,405—average loan size amounted to $234,433 with an average broker price opinion (BPO) loan-to-value ratio (LTV) of 109.61 percent. For pool one, the weighted average note was 4.54 percent. e second pool, which had the smallest number of total loans, consisted of 2,001 loans with a BPO LTV rate of 97.54 percent. e unpaid principal balance was $461,732,787 with an average loan size of $230,751. e final pool had the largest amount of loans and the largest aggregate UPD, at 4,482 loans for a total of $988,847,948, respectively. e BPO LTV was the lowest of the three groups, however, at 89.37 percent. All three pools were sold to a single entity, MTGLQ Investors. e deal is expected to close on October 26. e pools were marketed by Citigroup Global Markets Inc., which served as an advisor. It was additionally reported that the cover bid price for all three pools was 91.51 percent of unpaid principal balance, which amounts to 83.37 percent of the average BPO. HOW EQUIFAX COULD CHANGE ARBITRATION e recent Equifax breach of data of more than 143 million American consumers via hacking could have breathed new life into the Consumer Financial Protection Bureau's (CFPB) recent anti-arbitration clause, according to a report by the Los Angeles Times. e rule, which has been under the spotlight since its passing in early July, bars mandatory arbitration to allow consumers to proceed directly with class action lawsuits. Congress, especially Rep. Jeb Hensarling, who has long been at odds with CFPB Director Richard Cordray, has threatened to invoke the Congressional Review Act in order to overturn it. Many didn't expect the ruling to go further. However, Equifax may have given the rule new legs to stand on, given the way things have played out since the breach. First, according to the LA Times, after the news broke of the data breach, the company offered a year of free credit monitoring with the stipulation that class action suits were forbidden. Once the news broke that this was the case, Equifax amended their statement, saying enrollment in the free credit monitoring program "does not waive any rights to take legal action." e company also stated that enrolling in the free credit monitoring program would not automatically sign consumers up for the paid program. Keith Noreika, the acting Comptroller of the Currency, had asked Cordray to delay the implementation of the ruling so the OCC could assess how it would affect the banking industry. Cordray was not receptive to the request. It remains unclear as to how Equifax's current slip-up will affect the success of the CFPB's arbitration rule. The percentage of servicers surveyed that believe FHA and VA loans would increase in the next 12 to 24 months. Source: Altisource's inaugural Default Servicing Survey STAT INSIGHT 71%

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