Fannie Mae issued Servicing Guide Announcement SVC-2017-04 (Announcement), setting forth updates to the Servicing Guide. As outlined in the Announcement, several updates to the Servicing Guide have been made in response to the CFPB’s recent amendments to the 2013 Mortgage Servicing rules (including updated requirements with respect to servicer communication responsibilities, borrower contact and workout attempts). The Servicing Guide updates also: expand eligibility for the workout option incentive fee with respect to a post-bankruptcy mortgage loan modification; amend Fannie Mae’s escrow waiver request policy; require servicers to submit a proposed agreement with a mortgage insurer or guarantor to Fannie Mae for approval prior to entering into such agreements; amend Fannie Mae’s post-delivery servicing transfer requirements and Form 629 (Request for Approval of Servicing or Subservicing Transfer); and require servicers to maintain recorded limited powers of attorney, quitclaim deeds, and assignments of mortgage (rather than submitting the documents to Fannie Mae). The Servicing Guide Updates generally went into effect May 10, 2017. However, the updates to the escrow waiver request policy are effective June 1, 2017. The updates to the post-delivery servicing transfer requirements and Form 629 are effective July 1, 2017. Servicers must implement the updates related to the CFPB’s recent Mortgage Servicing rule change no later than October 19, 2017 (although servicers are encouraged to do so immediately).
Click here to view the Fannie Mae Servicing Guide Announcement
