FHLMC today announced several special policies intended to put emergency funds in the pockets of single-family mortgage borrowers impacted by Hurricane Katrina.

This builds ons what Freddie Mac recently released (FHLMC Hurricane Katrina Relief Guidelines) .

Some of the points of interest are

• Immediate Mortgage Payment Relief including "Must suspend all payment collection activities, including automated dialers and collections calls. Instead, Servicers should focus efforts on ascertaining borrowers’ current situations and extent of property damage. In addition, Servicers should suspend all foreclosure proceedings, including foreclosure referrals and eviction proceedings, during September, October and November, even if the mortgage was in default prior to Hurricane Katrina."
  
• Immediate Release of Hazard Insurance Proceeds
• Reporting Instructions and Additional Guidance for Servicers

There are also listed additional Relief Measures for Other Borrowers affected by Hurricane Katrina.

Freddie Mac continues to encourage Freddie Mac Sellers and Servicers who conduct business in regions that are declared Major Disaster Areas to view our Disaster Relief Policies web page at www.FreddieMac.com/singlefamily/relief.html.

Freddie Mac strongly urges Servicers and Sellers to thoroughly review their Hurricane Katrina Disaster Relief Web Page.

To view the full document please click on the following link

FHLMC Hurricane Katrina Relief Guidelines

Please click on the following link to review the latest Press Release.

FHLMC Press Release

 To view additional All Client Alerts, please click on news.