Freddie Mac has issued Guide Bulletin 2009-16.

Both selling and Servicing requirements are amended with this Single-Family Seller/Servicer Guide (“Guide”) Bulletin.

With this Bulletin, we are announcing that beginning October 1, 2009, Freddie Mac will no longer directly provide Note certification and custody services, and has selected The Bank of New York Mellon Trust Company, N.A. (BNYM) to perform such services for its Mortgages as Freddie Mac’s Designated Custodian (Designated Custodian). Among other things, this Bulletin describes the transition of certification responsibilities and custody of Notes to BNYM. The transition period begins October 1, 2009, and will extend to the effective date of the custodial relationship the Seller/Servicer must establish with either the Designated Custodian or another third-party Custodian. The effective date of either such arrangement is referred to in this Bulletin as the “Custodial Agreement Effective Date.”

The following topics related to this change are addressed in this Bulletin:

• Seller and Servicer responsibilities related to Note delivery, certification and custody during the transition period
• The process and requirements with respect to contracting with the Designated Custodian or, at the Seller/Servicer’s option, another third-party Custodian
• The announcement of a new Form 1035DC, Designated Custodial Agreement: Single-Family Mortgages, that must be used to establish a custodian relationship with BNYM
• Document custody fees and charges
• Other miscellaneous matters

As a result of this change, we are also announcing the following:

• Sellers selling Mortgages to Freddie Mac through the Freddie Mac Selling System (Selling System) Servicing Released Sales Process (SRSP) must establish a custodial relationship with the Designated Custodian and deliver Notes for such Mortgages to the Designated Custodian for certification
• Sellers must deliver the Intervening Assignments when delivering Notes for certification to the Document Custodian, including BNYM, in its capacity as vendor/agent for Freddie Mac or as Designated Custodian
• In connection with Transfers of Servicing or transfers of custody, Servicers must deliver the Intervening Assignments to the Document Custodian, including BNYM, in its capacity as vendor/agent for Freddie Mac or as Designated Custodian

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 700 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.