At this point in the process, borrower information (i.e., name, Social Security Number (SSN), and date of birth) is initially validated against several federal government databases. These databases include, but are not limited to, HUD's database for borrowers with multiple loans, the Social Security Administration's (SSA) Death Master File, and the Credit Alert System (CAIVRS) database of delinquent federal debtors.

If the borrower or a coborrower is found to be associated with other FHA-insured mortgages, or is found to have a claim or default recorded for a federal or FHA-insured loan, a warning message is displayed with a brief explanation. Case processing may continue, but the warning may warrant further investigation of the borrower/coborrower(s).

If the borrower, coborrower, or non-borrowing spouse (NBS) is identified as deceased, an error is displayed with a brief explanation. Upon receiving this error, you cannot continue case processing until you have corrected and resubmitted the borrower information.