CFPB Offers Guidance To Servicers Offering COVID-Related Forbearance Options

CFPB building. Credit: Getty Images/JHVEPhoto

The Consumer Financial Protection Bureau issued an Interim Final Rule (IFR) that will make it easier for consumers to transition out of financial hardship caused by the COVID-19 pandemic and easier for mortgage servicers to assist those consumers.

Eric C. Peck
 & 
June 24, 2020

The Consumer Financial Protection Bureau issued an Interim Final Rule (IFR) that will make it easier for consumers to transition out of financial hardship caused by the COVID-19 pandemic and easier for mortgage servicers to assist those consumers.

The IFR makes it clear that servicers do not violate Regulation X by offering certain COVID-19-related loss mitigation options based on an evaluation of limited application information collected from the borrower. Normally, with certain exceptions, Regulation X would require servicers to collect a complete loss mitigation application before making an offer.

Click here to learn more about the CFPB's new guidance for servicers.

This article originally appeared in the National Mortgage Professional print magazine.

Eric C. Peck is senior editor of National Mortgage Professional magazine and editor-in-chief of the National Mortgage Professional Magazine website.

Eric C. Peck is senior editor of National Mortgage Professional magazine and editor-in-chief of the National Mortgage Professional Magazine website.

No items found.
CFPB Offers Guidance To Servicers Offering COVID-Related Forbearance Options
Compliance

CFPB Offers Guidance To Servicers Offering COVID-Related Forbearance Options

June 24, 2020
by
Eric C. Peck

The Consumer Financial Protection Bureau issued an Interim Final Rule (IFR) that will make it easier for consumers to transition out of financial hardship caused by the COVID-19 pandemic and easier for mortgage servicers to assist those consumers.

The IFR makes it clear that servicers do not violate Regulation X by offering certain COVID-19-related loss mitigation options based on an evaluation of limited application information collected from the borrower. Normally, with certain exceptions, Regulation X would require servicers to collect a complete loss mitigation application before making an offer.

Click here to learn more about the CFPB's new guidance for servicers.

Written by 
Eric C. Peck

Eric C. Peck is senior editor of National Mortgage Professional magazine and editor-in-chief of the National Mortgage Professional Magazine website.

ericp@ambizmedia.com

These articles are powered by National Mortgage Professional

The Consumer Financial Protection Bureau issued an Interim Final Rule (IFR) that will make it easier for consumers to transition out of financial hardship caused by the COVID-19 pandemic and easier for mortgage servicers to assist those consumers.

The IFR makes it clear that servicers do not violate Regulation X by offering certain COVID-19-related loss mitigation options based on an evaluation of limited application information collected from the borrower. Normally, with certain exceptions, Regulation X would require servicers to collect a complete loss mitigation application before making an offer.

Click here to learn more about the CFPB's new guidance for servicers.

You might also be interested in: