Nationstar Mortgage analyzes our liquidated loans from our clients’ portfolios to determine if servicers are accurately calculating losses and amounts claimed. Using a well defined methodology, Nationstar selects loans considered at a high risk for servicer error for additional analysis. The servicer error review selection has proven highly successful in targeting problem loans. The loans are evaluated using a fact-based review and an analytical assessment to determine if the servicer contributed to the loss on the loan. Inaccurate losses taken and/or servicer errors identified during an evaluation are billed to the servicer for recovery.