; (B) in paragraph (4)— (i) in subparagraph (B)— (I) by redesignating clause (iv) as clause (v); and (II) by adding after clause (iii) the following: (iv) Any other lender that is supervised, approved, regulated, or insured by any agency of the Federal Government, including any entity certified as a community development financial institution by the Community Development Financial Institutions Fund established under section 104(a) of the Riegle Community Development and Regulatory Improvement Act of 1994 ( 12 U.S.C. 4703(a) ). ; and (ii) by adding at the end the following: (C) Indemnification (i) In general If the Secretary determines that a mortgage guaranteed through a direct guarantee process under this section was not originated in accordance with the requirements established by the Secretary, the Secretary may require the lender approved under this section to indemnify the Secretary for the loss, irrespective of whether the violation caused the mortgage default. (ii) Direct guarantee endorsement The Secretary may, dependent on the availability of systems development and staffing resources, delegate to eligible lenders the authority to directly endorse loans under this section. (iii) Fraud or misrepresentation If fraud or misrepresentation was involved in the direct guarantee endorsement process by a lender under this section, the Secretary shall require the approved direct guarantee endorsement lender to indemnify the Secretary for any loss or potential loss, regardless of whether the fraud or misrepresentation caused or may cause the loan default. (iv) Implementation The Secretary may implement any requirements described in this subparagraph by regulation, notice, or Dear Lender Letter. . (C) in paragraph (5)(A), by inserting before the semicolon at the end the following: except, as determined by the Secretary, when there is a loan modification under subsection (i)(1)(B), the term of the loan shall not exceed 40 years