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Servicing Alignment Initiative

Updated Borrower Contact and Solicitation Requirements

We've simplified our borrower contact and solicitation requirements by providing Servicers with greater flexibility. Read our Single-Family News Center article for more information.

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 Timelines

  • Uniform timelines from referrals to foreclosure sales
  • Standardized exceptions to timelines

Incentives and Compensatory Fees

  • Consistent incentive amounts for settled Freddie Mac Standard Modifications and Freddie Mac Streamlined Modifications
  • Compensatory fees applied for exceeding foreclosure timelines 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


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