Skip to Page Content | Skip to Site Navigation | Skip to Section Navigation

Servicing Alignment Initiative

New Lender-Placed Insurance Compliance Certification

Freddie Mac is requiring that Servicers provide certification that they are currently or will be in compliance with the Lender-Placed Insurance requirements announced in Single-Family Seller/Servicer Guide (Guide) Bulletin 2013-27 by completing the new Lender-Placed Insurance Compliance Certification form. The completed form must be returned to Freddie Mac's Lender-Placed Insurance mailbox by April 30, 2014.

Through the joint-GSE Servicing Alignment Initiative, Freddie Mac continues to implement consistent mortgage loan servicing and delinquency management requirements at the direction of the Federal Housing Finance Agency (FHFA). Overall, we believe that these consistent servicing standards will further enhance Freddie Mac and our Servicers’ mutual goal of quality and responsible servicing, while strengthening assistance for delinquent borrowers.

When fully implemented, Servicers will manage delinquent loan servicing under a new set of GSE-aligned requirements for the following:

Borrower Contact

  • Consistent standards and benchmarks for maintaining a call center and other contact method service levels
  • Standardized Borrower Solicitation Package
  • Aligned requirements for establishing Quality Right Party Contact

Delinquency Management

  • Consistent content and timing requirements for borrower disclosures and written communications
  • Standard delinquency management from collection calls to foreclosure referral
  • Consistent process for reviewing and escalating borrower complaints and disputes
  • Aligned property inspection requirements and timeframes

Loan Modifications

  • Consistent borrower evaluation hierarchy and process
  • Freddie Mac Standard Modification
  • Freddie Mac Streamlined Modification
  • Disaster Relief Modification

Foreclosure Process Time Lines

  • Uniform time lines from referrals to foreclosure sales
  • Standardized exceptions to time lines

Incentives and Compensatory Fees

  • Consistent incentive amounts for settled Freddie Mac Standard Modifications and Freddie Mac Streamlined Modifications
  • Compensatory fees applied for exceeding foreclosure time lines due to unapproved delays

Freddie Mac Standard Short Sales

  • Delegated authority to decision most short sale transactions
  • Consistent borrower response communication time frames

Freddie Mac Standard Deed-in-Lieu

  • Standardized process for a deed-in-lieu foreclosure alternative
  • Consistent borrower response communication time frames

Resources

Guide Bulletins

Single-Family Updates and News Articles

  • August 15, 2013New Disaster Relief Requirements and Updates to Improve Servicer Processes Announced in Guide Bulletin 2013-15
  • July 31, 2013 Guide Bulletin 2013-14 Revises Performance Standards to Optimize Borrower Outcomes
  • March 27, 2013 Guide Bulletin 2013-5 Announces Requirements for Streamlined Modification and Updates to Standard Modification Requirements
  • June 13, 2012Guide Bulletin 2012-13 Announces Process Updates Affecting Servicers

Back to Top