Freddie Mac issued Guide Bulletin 2016-18 establishing a new form to facilitate the processing of a Principal Reduction Modification. The new form is Form 1205-PR: Post Settlement Correction Request for the Principal Reduction Modification. Servicers must use Form 1205-PR for borrowers who opt out of the principal reduction post-settlement option. Servicers must also use Form 1205-PR when a borrower completes an active trial period plan under a mortgage modification program, other than a Principal Reduction Modification, if the servicer requests that forborne principal be forgiven postsettlement. The new Form is effective October 1, 2016; however, servicer may implement the new form sooner if able to do so.
Fannie Mae
Fannie Mae Issues Servicing Guide Announcement SVC-2024-06
Fannie Mae issued Servicing Guide Announcement SVC-2024-06 (Announcement), setting forth updates to the Servicing Guide. Per the Announcement, Fannie Mae clarified requirements related to eMortgages.
November 14, 2024
