Termination of direct endorsement approval. If a mortgagee’s direct en- dorsement approval is terminated, it may not underwrite single family in- sured mortgages for the area(s) identi- fied in the termination notice, unless the direct endorsement approval is re- instated by the Secretary in accord- ance with paragraph (e) of this section, notwithstanding any other provision of this part except § 202.3(c)(2)(vii)(A).
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