SUBJECTS
Both selling and Servicing requirements are amended with this Single-Family Seller/Servicer Guide (“Guide”) Bulletin.
With this Bulletin, we are making the following changes to our selling requirements:

• Announcing that we will require Sellers to submit a certificate of incumbency form that identifies the person(s) authorized to provide Freddie Mac with instructions to transfer funds or securities in connection with the sale of Mortgages to Freddie Mac
• Requiring all Sellers to remit payments for Seller fees via an Automated Clearing House (ACH) draft

We are making the following changes to our Servicing requirements:

• Providing further guidance regarding the preparation and filing of IRS Form 1099-MISC

We are also updating Guide Exhibit 4, Uniform Instruments, to include the Uniform Instruments introduced for use in connection with the Streamlined Modification Program: the Streamlined Modification Program Loan Workout Plan and Modification Agreement (announced in our December 12, 2008 Bulletin) and the Streamlined Modification Program Loan Workout Plan Pending Rate Adjustment (announced in our January 9, 2009 Bulletin).

As announced January 28, 2009, the Streamlined Modification Program Loan Workout Plan and Modification Agreement – Single-Family – Fannie Mae/Freddie Mac Uniform Instrument, Form 3169, 12/08 (rev.1/09) has been updated.

Effective dates
All of these changes are effective immediately except:
With respect to the new certificate of incumbency requirements:

• May 31, 2009 – Sellers must provide Freddie Mac with a certificate of incumbency and a board of directors resolution or other governing body resolution, as applicable, designating certain persons as authorized and empowered to provide Freddie Mac with instructions (or modify instructions) to transfer funds or securities on the Seller’s behalf in connection with the sale of Mortgages to Freddie Mac, and meet other related requirements, no later than this date
• June 1, 2009 – Person(s) providing Freddie Mac with instructions to transfer funds or securities by wire transfer, ACH or other payment system in connection with the sale of Mortgages to Freddie Mac and the person identified as the Freddie Mac Selling System (“Selling System”) Setup Manager must be designated as one of the “Authorized Persons” on the Seller’s certificate of incumbency and resolution, on or after this date

With respect to the requirement to remit Seller fees by ACH draft:

• June 1, 2009 – All Seller fees must be paid with an ACH draft, effective with Seller fees billed on or after this date

To view the Bulletin in its entirety, 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 over 500 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.