FHA issued Mortgagee Letter 2023-03, requiring electronic submissions for all Title II single-family mortgage insurance claim types. Per the Mortgagee Letter, FHA eliminated paper-based filings and now requires mortgagees to file all insurance claims through the FHA Catalyst: Claims Module or the Electronic Data Interchange (as outlined in the Mortgagee Letter). To accommodate this change, FHA modified the FHA Handbook 4000.1 as follows:
- Removed text in the Preparation and Submission of Claim section (IV.A.1.a), the Claim Review File section (IV.A.1.c.), the Claim Type 06-Claims Without Conveyance of Title section (IV.A.2.d), and the Reacquisition by HUD and Resubmission of Claim section (IV.A.4.c.ii);
- Updated text in the Calculating Interest for Default after SFB-Unemployment or Special Forbearance section (IV.A.2.a.i.(C)), the Claim Form Parts to HUD for Conveyance Claims section (IV.A.2.a.iv), the Hawaiian Home Lands Mortgages (Section 247 Mortgages) Claims section (IV.A.2.b.i), the Insured Mortgages on Indian Land (Section 248 Mortgages) Claims section (IV.A.2.b.ii), and the Claim Type 05 – Supplemental Claims/Remittance section (IV.A.2.c.); and
- Deleted the Paper Submission Process subsection in the Preparation and Submission of Claims section (IV.A.1.a.).
The provisions of the Mortgagee Letter must be implemented no later than March 1, 2023.
Click to view the FHA Info #2023-10: https://www.tenaco.com/wp-content/uploads/2023/02/FHA-Info-2023-10-02-16-23.pdf
Click to view the FHA Mortgagee Letter 2023-04: https://www.tenaco.com/wp-content/uploads/2023/02/FHA-Mortgagee-Letter-2023-04-02-16-23.pdf
