Important Seller/Servicer Information on Potential Impacts of COVID-19
Effective Date: Immediately
With recent reports of the possible spread of coronavirus (i.e., COVID-19) in the United States, the MPF Program understands the concerns about its potential impact to Borrowers and PFIs.
The MPF Program would like to remind PFIs and Servicers, that they are authorized to offer forbearance and other appropriate assistance in accordance with our existing policies to assist borrowers who are unable to make their monthly mortgage loan payment as a result of a temporary hardship (for example, if a borrower is quarantined and unable to work).
PFIs and Servicers are also reminded, that they must have a business continuity/disaster recovery program in place to support its ongoing ability to conduct business operations, among other things, in the event of an interruption to business operations and processes.
In addition, PFIs and Servicers originating, delivering or servicing:
- MPF Government loans and MPF Government MBS loans, must follow policies and guidance issued by the applicable Government Agencies.
- MPF Xtra loans, must follow policies and guidance issued by Fannie Mae.
- MPF Direct loans, must follow policies and guidance issued by the product’s investor, Redwood Trust.
- MPF Announcement 2020-7