14 Sep Fannie Mae: SVC-2020-04: Servicing Guide Updates
September 9, 2020
Source: Fannie Mae
The Servicing Guide has been updated to include changes to the following:
Allowable foreclosure attorney fees*: updates the allowable foreclosure attorney fees for Hawaii.
▪ Miscellaneous revisions**:
▪ incorporates disaster payment deferral policies as well as adds references to payment deferral throughout the Servicing Guide,
▪ updates the authority to offer an initial forbearance plan of up to three months without achieving Quality Right Party Contact (QRPC) in connection with a disaster event, and
▪ removes outdated references to Master Agreements from the Selling and Servicing Guides.
*Policy change applies only to HomeKeeper® loans and is not applicable to Home Equity Conversion Mortgage
**Policy change not applicable to reverse mortgage loans.
Allowable foreclosure attorney fees
We have updated the Allowable Foreclosure Attorney Fees Allowable Foreclosure Attorney Exhibit to reflect a change to the
maximum allowable foreclosure attorney fees for mortgage loans secured by properties in Hawaii.
Effective: These new fees apply to all matters referred to counsel for initiation of foreclosure proceedings, regardless of referral date, as long as the matter is still active as of Sept. 9, 2020. Servicers are encouraged to implement new fees for the impacted files as soon as possible, but must do so no later than Dec. 1, 2020. Servicers may exercise reasonable discretion in determining how to implement the fees, including working as needed with the law firm or an applicable invoicing technology provider.
Incorporation of disaster payment deferral. We have incorporated the disaster payment deferral workout option introduced on Jul. 15, 2020 in LL-2020-11, and subsequently updated on Aug. 27, 2020, into the Servicing Guide. In connection with this incorporation, we have also added references to payment deferral throughout the Guide as applicable.
Effective: As of Oct. 1, 2020, servicers must evaluate borrowers for a disaster payment deferral in lieu of Extend Modification for Disaster Relief and Cap and Extend Modification for Disaster Relief, which will be retired as of said date.
Forbearance without achieving QRPC in a disaster event. We have updated the authority to offer an initial forbearance plan of up to three months without achieving QRPC in connection with a disaster event.
Master Agreements. As a result of the simplification of our lender contract process, we no longer issue Master Agreements for the delivery or servicing of certain special mortgage loan products or other mortgage loans that are at variance with standard Fannie Mae policies. Therefore, we have removed all references to Master Agreements from our Selling and Servicing Guides.
For full update, please click the source link above.