Servicing Policy Communications

Access a list of Servicing Announcements, Lender Letters and Notices to stay current on Fannie Mae's latest servicing policy updates.

 

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Lender Letter LL-2020-02 – Impact of COVID-19 on Servicing June 24, 2020-This Lender Letter communicates temporary policies to enable servicers to better assist borrowers impacted by COVID-19.
Lender Letter LL-2020-08 – Servicer Principal and Interest Requirements Change June 10, 2020-This Lender Letter aligns policies with Freddie Mac to limit servicer obligations to advance scheduled monthly payments to four months for scheduled/scheduled (S/S) remittance type mortgage loans and introduces a streamlined operational process that maintains our existing investor reporting requirements.
Lender Letter LL-2020-09 – Incentive Fees for Retention Workout Options June 10, 2020-This Lender Letter introduces a new temporary structure for incentive fees for completed repayment plans, payment deferrals/COVID-19 payment deferrals, and Fannie Mae Flex Modifications.
Announcement SVC-2020-02 – Servicing Guide Update June 10, 2020-The June Servicing Guide update includes changes to the pre-modification housing expense-to-income ratio calculation for imminent default and cash contribution, with updated instructions to servicers regarding escrow shortages that are part of the full monthly contractual payment, and an update to the Mortgage Assistance Application (Form 710).
Lender Letter LL-2020-07 – COVID-19 Payment Deferral June 10, 2020-This Lender Letter provides a new workout solution to help borrowers impacted by a COVID-19 hardship return their mortgage to current status after up to 12 months of missed payments.
Lender Letter LL-2020-05 – Payment Deferral June 10, 2020-This Lender Letter introduces payment deferral, a new home retention workout option that enables servicers to assist eligible borrowers who have resolved a temporary hardship and resumed their monthly contractual payments but cannot afford either a full reinstatement or repayment plan to bring the loan current.
Servicing Notice – Update to Retirement Date for HomeSaver Solutions Network Workout Functionality May 20, 2020-In Servicing Notice, Advance Notice of Retirement of HomeSaver Solutions Network Workout Functionality (Oct. 30, 2019), we informed servicers that we will retire and transition the mortgage loan workout reporting and related functionality in the HomeSaver Solutions Network (HSSN) to Servicing Management Default Underwriter™ (SMDU), SMDU UI and SMDU Case Management for all workout reporting processes. In response to servicer feedback and as a result of the impact of COVID-19, we are postponing the Dec. 31, 2020 retirement date previously communicated in that Notice.
Announcement SVC-2020-01 – Servicing Guide Update February 12, 2020-February’s Servicing Guide update revises the foreclosure milestone schedule, eliminates prorated foreclosure fee requirements, clarifies delinquency exception reporting, and more.
Servicing Notice – Advance Notice of Retirement of HomeSaver Solutions Network Workout Functionality December 31, 2019-Effective December 31, 2020, Fannie Mae will retire the loan workout reporting and related functionality in HomeSaver Solutions Network (HSSN). As a part of Simplifying Servicing, HSSN functionality is being transitioned to Fannie Mae’s Servicing Management Default Underwriter (SMDU), SMDU User Interface (UI), and SMDU Case Management for all workout reporting processes. Servicers currently utilizing HSSN are encouraged to fully transition this activity to SMDU as soon as possible, but must do so no later than the effective date.
Selling and Servicing Notice – Taxpayer First Act and Use of Tax Return Information (This Notice was replaced on Dec. 16.) December 16, 2019-The Taxpayer First Act was signed into law on July 1, 2019. It includes a provision that persons receiving return information must obtain the express permission of taxpayers prior to disclosing that return information to any other person.
Selling and Servicing Notice – Taxpayer First Act and Use of Tax Return Information – UPDATE December 16, 2019-Fannie Mae sellers and servicers must comply with a provision of the Taxpayer First Act that requires persons receiving tax return information to obtain express taxpayer permission to disclose return information to any other third parties.
Malloy Evans: Key Updates in Latest Servicing Announcement (Dec. 11, 2019) December 11, 2019-For a summary of key updates in this Servicing Guide Announcement, view the executive overview by Malloy Evans, Chief Credit Officer for Single-Family.
Announcement SVC-2019-08 – Servicing Guide Update December 11, 2019-The December changes include updates that introduce a payment shortage tolerance, simplify the reporting of fidelity bonds and errors and omissions events, and more.
Malloy Evans: Key Updates in Latest Announcement (Nov. 13, 2019) November 13, 2019-The executive overview by Malloy Evans, Chief Credit Officer for Single-Family.
Selling and Servicing Notice – Taxpayer First Act November 6, 2019-The Taxpayer First Act was signed into law on July 1, 2019. It includes a provision that persons receiving return information must obtain the express permission of taxpayers prior to disclosing that return information to any other person.
Servicing Notice – Eliminating Servicer Responsibilities for Paying HOA, COA, and Co-op Corporation Fees on Acquired Properties October 9, 2019-Fannie Mae now assumes the responsibility for the payment of all property taxes, ground rents, as well as fees and assessments invoiced by an HOA, condo association, or co-op corporation once the foreclosure sale or Mortgage Release occurs.
Malloy Evans: Key Updates in Latest Servicing Announcement (September 11, 2019) September 11, 2019-Single-Family Chief Credit Officer, Malloy Evans, offers an executive overview of the latest Servicing Guide Announcement.
Announcement SVC-2019-06 – Servicing Guide Update September 11, 2019-The September changes include updates to the maximum allowable foreclosure and bankruptcy attorney fees and other miscellaneous revisions.
Lender Letter LL-2019-07 – Advance Notice of Fannie Mae-Initiated Principal and Interest Drafts for Scheduled/Scheduled and Scheduled/Actual Portfolio Mortgage Loans August 14, 2019-This Lender Letter provides advance notification to servicers of changes that will simplify and streamline the cash remittance and reconciliation process. The effective date for the changes in this Lender Letter is targeted for the second quarter of 2020; servicers will be notified once a specific effective date is determined.
Servicing Notice – Extension of Cost of Funds Index July 31, 2019-We have issued a Servicing Notice about the extended publishing of Cost of Funds Index (COFI).