Freddie Mac Standard & Streamlined Modification Interest Rate

Current Interest Rate
Effective September 1, 2013 4.625%

In accordance with Single-Family Seller/Servicer Guide (Guide) Section B65.18, Determining the Terms of a Freddie Mac Standard Modification, and Section B65.12.1(c), Freddie Mac Streamlined Modification, Servicers must use a fixed interest rate that is provided by Freddie Mac when determining a borrower's eligibility for a Freddie Mac Standard Modification or a Freddie Mac Streamlined Modification. As a reminder, Servicers must also use the Standard Modification interest rate when evaluating borrowers for a Streamlined Modification Trial Period Plan.

Servicers should refer to this Web page each time they determine a borrower's eligibility to calculate the terms of a Standard Modification or Streamlined Modification Trial Period Plan payment. In addition, Servicers are reminded they should:

Use the interest rate in effect and posted on Freddie Mac’s website as of the date the Servicer evaluates the borrower's eligibility for a Standard Modification or Streamlined Modification Trial Period Plan.
Ensure the interest rate used to determine final modification terms is the same fixed rate that was used when determining eligibility for the Trial Period Plan and calculating the Trial Period Plan payment – even if the interest rate that must be used for new Trial Period Plan evaluations subsequently changes.

Future Adjustments to the Fixed Interest Rate

Occasionally, Freddie Mac may adjust the interest rate that Servicers must use for new Standard Modification or Streamlined Modification Trial Period Plan evaluations. The interest rate adjustments are not based on a pre-determined schedule; the rate may adjust, as necessary, based on market conditions.

Historical Interest Rates

Effective Dates	Interest Rates
December 1, 2012 – August 31, 2013	4%
September 1 – November 30, 2012	4.25%
July 1 – August 31, 2012	4.625%
January 1 – June 30, 2012	5%

Additional Resources

Are you a homeowner?

If you believe you qualify for a Standard Modification, please contact the company to whom you make your mortgage payments. Delinquent borrowers eligible for assistance will be contacted by their mortgage Servicer. Read more about how to avoid foreclosure.