Common use of Quality Control- Credit Clause in Contracts

Quality Control- Credit. On a monthly basis Quality Control selects a sample of loans to audit from the total population of funded loans from the previous month for each origination channel. Agency guidelines require a formal post-closing Quality Control process and are satisfied with either a random 10% or a statistical sampling methodology. GMAC Mortgage Quality Control employs a statistical sampling model that provides a 95% confidence level that findings inferred to the overall population are accurate to a 2% margin of error over a 12-month period. In addition to the statistical sample, Quality Control makes additional targeted discretionary loan selections to address identified trends or other high risk areas. Quality Control will include a targeted discretionary sample of loans sold to GMAC bank within the overall sample of loans for each origination channel. Technology – Quality Control employs an audit software application to sample loans, record and track findings, and report audit results. Cogent Economics Audit Software, marketed by Cogent Economics. meets the requirements for statistical sampling. Audit Procedures – Closed loan post-funding review- performed by Quality Control tests each audited file for compliance with investor and company loan programs, underwriting guidelines and policies and procedures as well as fraud detection. Pre-funded review- performed by Quality Control tests the above.on a targeted selection of loans prior to funding. Cogent software records, tracks, and reports audit results. Audit Exception Follow Up – On a weekly basis, Quality Control reports significant audit findings to the appropriate origination channels for feedback and follow up. All business units typically have 30 days to respond (or until end of audit period which is generally 20 business days) to the findings. Once responses are received, they are evaluated with any resolved items being noted. Audit findings with no response after 30 days are considered as concurrence with the findings. Reporting – Quality Control issues monthly management reports to report overall audit results for each origination channel within 60 days of the end of a production month. Quality Control will prepare a special report for GMAC Bank to report findings from all origination channel audits of loans sold to GMAC Bank. Record Retention – Quality Control maintains audit work papers for two years following the completion of an audit. Management reports are maintained indefinitely. Timing – Pre-funded audits reports will be provided by the 15 th of the following month; Quality Control typically conducts post-funded new loan production audits on the following time frame: Segment Audit Procedure Timing Time Line 1 Capture funded loan data, analyze funded loan data and select audit samples. 3 working days following close of month 3rd day 2 Order and receive selected loan files from Records Management. 4 to 40 working days to receive requested files 4th day to start, 45thth day to complete 3 Prepare and audit selected loans File audits completed within 45 days of the close of the month. Audit period consists of 20 working days 15th day - 45th day 4 Compile, review and finalize findings including any feedback or response from channel. 16th day - 55th day 55th day 5 Prepare final report and distribute to channels and Bank management 5 days 60th day 6 Management response due back to Quality Control 30 days 90th day

Quality Control- Credit. On a monthly basis Quality Control selects a sample of loans to audit from the total population of funded loans from the previous month for each origination channel. Agency guidelines require a formal post-closing Quality Control process and are satisfied with either a random 10% or a statistical sampling methodology. GMAC Mortgage Quality Control employs a statistical sampling model that provides a 95% confidence level that findings inferred to the overall population are accurate to a 2% margin of error over a 12-month period. In addition to the statistical sample, Quality Control makes additional targeted discretionary loan selections to address identified trends or other high risk areas. Quality Control will include a targeted discretionary sample of loans sold to GMAC bank within the overall sample of loans for each origination channel. Technology – Quality Control employs an audit software application to sample loans, record and track findings, and report audit results. Cogent Economics Audit Software, marketed by Cogent Economics. meets the requirements for statistical sampling. Audit Procedures – Closed loan post-funding review- performed by Quality Control tests each audited file for compliance with investor and company loan programs, underwriting guidelines and policies and procedures as well as fraud detection. Pre-funded review- performed by Quality Control tests the above.on a targeted selection of loans prior to funding. Cogent software records, tracks, and reports audit results. Final 8/1/07 Audit Exception Follow Up – On a weekly basis, Quality Control reports significant audit findings to the appropriate origination channels for feedback and follow up. All business units typically have 30 days to respond (or until end of audit period which is generally 20 business days) to the findings. Once responses are received, they are evaluated with any resolved items being noted. Audit findings with no response after 30 days are considered as concurrence with the findings. Reporting – Quality Control issues monthly management reports to report overall audit results for each origination channel within 60 days of the end of a production month. Quality Control will prepare a special report for GMAC Bank to report findings from all origination channel audits of loans sold to GMAC Bank. Record Retention – Quality Control maintains audit work papers for two years following the completion of an audit. Management reports are maintained indefinitely. Final 8/1/07 Timing – Pre-funded audits reports will be provided by the 15 th 15th of the following month; Quality Control typically conducts post-funded new loan production audits on the following time frame: Segment Audit Procedure Timing Time Line 1 Capture funded loan data, analyze funded loan data and select audit samples. 3 working days following close of month 3rd day 2 Order and receive selected loan files from Records Management. 4 to 40 working days to receive requested files 4th day to start, 45thth day to complete 3 Prepare and audit selected loans File audits completed within 45 days of the close of the month. Audit period consists of 20 working days 15th day - 45th day 4 Compile, review and finalize findings including any feedback or response from channel. 16th day - 55th day 55th day 5 Prepare final report and distribute to channels and Bank management 5 days 60th day 6 Management response due back to Quality Control 30 days 90th day

Quality Control- Credit. On a monthly basis Quality Control selects a sample of loans to audit from the total population of funded loans from the previous month for each origination channel. Agency guidelines require a formal post-closing Quality Control process and are satisfied with either a random 10% or a statistical sampling methodology. GMAC Mortgage Quality Control employs a statistical sampling model that provides a 95% confidence level that findings inferred to the overall population are accurate to a 2% margin of error over a 12-month period. In addition to the statistical sample, Quality Control makes additional targeted discretionary loan selections to address identified trends or other high risk areas. Quality Control will include a targeted discretionary sample of loans sold to GMAC bank within the overall sample of loans for each origination channel. Technology – Quality Control employs an audit software application to sample loans, record and track findings, and report audit results. Cogent Economics Audit Software, marketed by Cogent Economics. , meets the requirements for statistical sampling. Audit Procedures – Closed loan post-funding review- performed by Quality Control tests each audited file for compliance with investor and company loan programs, underwriting guidelines and policies and procedures as well as fraud detection. Pre-funded review- performed by Quality Control tests the above.on above on a targeted selection of loans prior to funding. Cogent software records, tracks, and reports audit results. Final 12/10/08 Audit Exception Follow Up – - On a weekly basis, Quality Control reports significant audit findings to the appropriate origination channels for feedback and follow up. All business units typically have 30 days to respond (or until end of audit period which is generally 20 business days) to the findings. Once responses are received, they are evaluated with any resolved items being noted. Audit findings with no response after 30 days are considered as concurrence with the findings. Reporting – Quality Control issues monthly management reports to report overall audit results for each origination channel within 60 days of the end of a production month. Quality Control will prepare a special report for GMAC Bank to report findings from all origination channel audits of loans sold to GMAC Bank. Record Retention – Quality Control maintains audit work papers for two years following the completion of an audit. Management reports are maintained indefinitely. Timing – Pre-funded audits reports will be provided by the 15 th 15th of the following month; Quality Control typically conducts post-funded new loan production audits on the following time frame: Segment Audit Procedure Timing Time Line 1 Capture funded loan data, analyze funded loan data and select audit samples. 3 working days following close of month 3rd day 2 Order and receive selected loan files from Records Management. 4 to 40 working days to receive requested files 4th day to start, 45thth day to complete 3 Prepare and audit selected loans File audits completed within 45 days of the close of the month. Audit period consists of 20 working days 15th day - 45th day 4 Compile, review and finalize findings including any feedback or response from channel. 16th day - 55th day 55th day 5 Prepare final report and distribute to channels and Bank management 5 days 60th day 6 Management response due back to Quality Control 30 days 90th dayday Final 12/10/08

Quality Control- Credit. On a monthly basis Quality Control selects a sample of loans to audit from the total population of funded loans from the previous month for each origination channel. Agency guidelines require a formal post-closing Quality Control process and are satisfied with either a random 10% or a statistical sampling methodology. GMAC Mortgage Quality Control employs a statistical sampling model that provides a 95% confidence level that findings inferred to the overall population are accurate to a 2% margin of error over a 12-month period. In addition to the statistical sample, Quality Control makes additional targeted discretionary loan selections to address identified trends or other high risk areas. Quality Control will include a targeted discretionary sample of loans sold to GMAC bank within the overall sample of loans for each origination channel. Technology – - Quality Control employs an audit software application to sample loans, record and track findings, and report audit results. Cogent Economics Audit Software, marketed by Cogent Economics. meets the requirements for statistical sampling. Audit Procedures – - Closed loan post-funding review- performed by Quality Control tests each audited file for compliance with investor and company loan programs, underwriting guidelines and policies and procedures as well as fraud detection. Pre-funded review- performed by Quality Control tests the above.on a targeted selection of loans prior to funding. Cogent software records, tracks, and reports audit results. Audit Exception Follow Up – - On a weekly basis, Quality Control reports significant audit findings to the appropriate origination channels for feedback and follow up. All business units typically have 30 days to respond (or until end of audit period which is generally 20 business days) to the findings. Once responses are received, they are evaluated with any resolved items being noted. Audit findings with no response after 30 days are considered as concurrence with the findings. Reporting – - Quality Control issues monthly management reports to report overall audit results for each origination channel within 60 days of the end of a production month. Quality Control will prepare a special report for GMAC Bank to report findings from all origination channel audits of loans sold to GMAC Bank. Record Retention – - Quality Control maintains audit work papers for two years following the completion of an audit. Management reports are maintained indefinitely. Timing – - Pre-funded audits reports will be provided by the 15 th 15th of the following month; Quality Control typically conducts post-funded new loan production audits on the following time frame: Segment Audit Procedure Timing Time Line 1 Capture funded loan data, analyze funded loan data and select audit samples. 3 working days following close of month 3rd day 2 Order and receive selected loan files from Records Management. 4 to 40 working days to receive requested files 4th day to start, 45thth day to complete 3 Prepare and audit selected loans File audits completed within 45 days of the close of the month. Audit period consists of 20 working days 15th day - 45th -45th day 4 Compile, review and finalize findings including any feedback or response from channel. 16th day - 55th day-55th day 55th day 5 Prepare final report and distribute to channels and Bank management 5 days 60th day 6 Management response due back to Quality Control 30 days 90th dayday • PRICING TERMS: Quality Control is prepared to deliver the described services at the following fees: Description of Service Cost per File Loan file audits and reporting $95 per file reviewed* Appraisal Review on 10% of loans audited with appraisals Actual cost (averages $165 per appraisal review) Credit reports as needed at the auditor discretion Actual cost (averages $3 per single in-file report) Early Payment Defaults1 $95 per file reviewed * Repurchase Requests $95 per file reviewed * Special Investigations Negotiated as required Special Projects and Reported Negotiated as required * The cost per file is determined using a blend of in-house and outsourced audits as well as administration costs.