HAMP Update New HAMP Borrower Documents Available
October 6th, 2010
The U.S. Department of the Treasury issued a HAMP Update titled, New HAMP Borrower Documents Available.
HAMP UPDATE
New HAMP Borrower Documents Available
For all servicers participating in the Home Affordable Modification Program (HAMP), the following documents are available for use on HMPadmin.com:
Updated Borrower Documents
The Trial Period Plan Notice, Home Affordable Modification Agreement Cover Letter, and the Home Affordable Modification Agreement -- Document Summary have been updated to include language for Principal Reduction Alternative (PRA). Specifically, the documents have been updated to describe the deferred principal reduction terms, as well as to provide notice to the borrower that principal reduction is reported to the Internal Revenue Service and may have tax consequences.
The Trial Period Plan has been updated to request that certain information, if available, be provided when contacting SIGTARP about fraud, waste, abuse, mismanagement, or misrepresentations affiliated with the Troubled Asset Relief Program (TARP).
The borrower documents have also been updated for minor revisions. The Spanish translations of the revisions to the Home Affordable Modification Agreement and the Home Affordable Modification Agreement -- Document Summary are not yet available. The Spanish translation of these documents now posted on HMPadmin.com has been marked to indicate this.
These forms are for use by all servicers who have executed a servicer participation agreement, regardless of whether you are participating in PRA.
Pursuant to Supplemental Directive 10-05, borrower documents for trial period plans or HAMP modifications using PRA must include the deferred principal reduction terms and notice regarding tax consequences. Therefore, servicers participating in PRA must include the language used in the updated borrower documents, or substantially similar language, immediately.
All servicers are encouraged to use the new forms as soon as possible, but these forms must be in use by January 1, 2011. These borrower documents have been updated for mortgage loans that are not owned or guaranteed by Fannie Mae and Freddie Mac. For loans that are owned or guaranteed by Fannie Mae or Freddie Mac, servicers should refer to relevant documents and guidance issued by the applicable GSE.
Questions?
If you have questions regarding servicer certification, please contact the HAMP Solution Center at support@hmpadmin.com or 1-866-939-4469.
To view the online HAMP Update, please click here
About Safeguard
Safeguard Properties is the largest privately held field services company in the country. Located in Cleveland, Ohio and founded in 1990 by Robert Klein, Safeguard has grown from a regional preservation company with a few employees and a handful of contractors performing services in the Midwest, to a national company with approximately 800 employees. Safeguard is supported by a nationwide network of subcontractors able to perform any requested superintendence, preservation, and maintenance functions, as well as numerous ancillary services in the U.S., the Virgin Islands, and Puerto Rico.