Freddie Mac Reimbursement System Enhancements Effective October 26
October 24, 2012
Beginning October 26, 2012, Servicers will notice enhancements to the Freddie Mac Reimbursement System. These enhancements include allowing reimbursement of exterior property inspections and four new reports being available through the system.
Exterior Property Inspection Fee Reimbursement Requests
With Single-Family Seller/Servicer Guide (Guide) Bulletin 2012-13, Servicers were introduced to state foreclosure time line requirements and compensatory fee calculations revisions with respect to foreclosure sales. The changes announced in Guide Bulletin 2012-13 affected the expense reimbursement process for property inspections.
Beginning October 26, 2012, the Reimbursement System will be enhanced to allow reimbursement of exterior property inspections conducted on or after January 1, 2012. Depending on when the mortgage was referred to foreclosure (i.e., before, on, or after October 1, 2012), different time lines would apply as well as the total number of inspection fees eligible for reimbursement. This system enhancement will allow coverage of any payments due as a result of a change in the foreclosure time line during these periods.
Effective Dates, Reimbursement System Codes, Inspection Fees
- As of October 26, 2012, exterior property inspections, Reimbursement System code 404005, cannot be co-mingled on an expense claim with other expense codes for the time period of October 26, 2012 – January 31, 2013. This will allow any prior payable exterior inspections to be processed outside of the normal claim submission time period.
- Effective February 1, 2013, you will be able to co-mingle the exterior property inspection code on the expense claim with other expense codes.
- Inspection fees are payable at $10 per month and the total payable cannot exceed the amount based on the time line.
- Inspection expenses/dates previously submitted and paid are not eligible for payment.
Batch Filing Capability
Claims may be submitted manually through the Reimbursement System or via a batch file format. With the batch file format multiple claims may be submitted, eliminating the need to manually enter data providing you more flexibility and time savings. Specified data elements and format are required when using the batch process.
The batch file format process requires assistance from your organization’s technical support team. To help with the process, our vendor, CoreLogic®, is providing training on the inspection fee changes and will provide a demonstration of the batch file process. Two 30-minute demonstration sessions are available and registration is required.
- Demonstration Session 1: November 6, 2012, 2 p.m. ET
- Demonstration Session 2: November 8, 2012, 2 p.m. ET
If you have questions about the batch file process training demonstration, contact Amy Nolan at email@example.com. General Reimbursement System questions may be emailed to the 104 Expense Team at 104Expense_Audit@FreddieMac.com.
New Reimbursement System Reports Available
Effective, October 26, 2012, Servicers will have four new reports that offer detailed information to help you more accurately file Form 104, Statement of Loan and Real Estate Owned (REO) Expenses and Income, reimbursements. These reports will provide you with a high-level view of what is being reimbursed, adjusted, and rejected for each loan. They are similar to the reports that were previously available through Expense ManagerSM.
The reports will be available through the Reports/Reporting and Analytics Suite Module of the Reimbursement System and include:
- Servicer's Payment Report provides a list of all claim(s) presented for payment or paid claims within a given time period.
- Servicer's Payment Detail View Report provides a detailed view of claim(s) presented for payment or paid claims within a given time frame.
- Settled Workout Loans Eligible for Final or Supplemental 104 Filing for Servicers shows a snapshot of all settled workout loans eligible for final or supplemental 104 claim submission filing.
- REO Loans Eligible for Initial or Final 104 Filing for Servicers gives a snapshot view of all real estate owned loans eligible for initial or supplemental 104 claim submission filing.
For your convenience, you can take advantage of generating these reports any time you need them—daily, weekly, and monthly.