July 23, 2012
Performance Premium Pricing Update Effective August 20, 2012
United Guaranty is updating Performance Premium® our risk-based pricing, for mortgage insurance applications and rate quote requests received on or after August 20, 2012 (subject to state approval).
As a result of this adjustment, you may find more pronounced pricing benefits in the areas listed below. The pricing benefit will be more pronounced when the loan has only one of these characteristics and its higher risk nature is compensated for by the remaining characteristics of the loan. In many cases, Performance Premium will provide competitive mortgage insurance rates for your borrowers—so remember to price United Guaranty first!
- Self-employed borrowers.
- DTI ratios of 37% or greater.
- Third-party originations (TPO).
- Rate/term refinances.
- 640–700 credit scores.
United Guaranty’s Secure Quote
Remember, United Guaranty’s Secure Quote® provides protection from unfavorable GQX® and pricing changes for up to 60 days. Secure Quote honors the pricing version and GQX for the MI Commitment that was used for the rate quote (or the pricing version and GQX in effect at MI submission if this is more favorable for the loan). Secure Quote does not guarantee the premium rate quoted; the final premium is always based on the loan information used for the MI Commitment.
For Secure Quote to apply, the MI submission must be received by the rate quote expiration date (60 days from the original quote date) and the United Guaranty quote date must be provided with the submission. For more information on Secure Quote, please see the Rate Runner® and Secure Quote documents available at www.ugcorp.com.
Please contact your United Guaranty account executive for more information.