Author: Jeffrey Clark

CRFS Real World Case Study 2021-01 COVID-19 FNMA Deferment Claim Project   Client:           Large non-bank mortgage servicer   Challenge:   In May, 2020 Fannie Mae under the direction of the Federal Housing Finance Agency (FHFA) in partnership with Freddie Mac issued a new Lender Letter (LL-2020-07) that provided servicers with additional retention workout options for borrowers… Read more »

Claims Recovery Financial Services, LLC (CRFS), the mortgage industry’s premier provider of claim filing and recovery services, was awarded the Orleans County (NY) Chamber of Commerce “Employer of the Year” for 2020 at a ceremony held today. CRFS, which started out with one employee processing a few claims for one client, today employs almost 200… Read more »

CRFS REAL WORLD CASE STUDY 2020-02 COVID-19 LOSS MITIGATION CLAIMS PROJECT   Client:           Large bank mortgage servicer   Challenge:   In April, 2020 HUD issued Mortgagee Letter ML 2020-06 that provided servicers with additional Loss Mitigation options for borrowers who had entered into forbearance as a result of financial distress caused by the Covid-19 pandemic. The… Read more »

CRFS is pleased to announce today that Audrey Cady has joined Claims Recovery Financial Services as their Accounting Manager.  In that role Audrey will be responsible for all the accounting and financial reporting activities of the company.  Audrey holds a Bachelor’s degree in Accounting from SUNY Geneseo, and has spent the past several years working… Read more »

CRFS REAL WORLD CASE STUDY 2020-01 FHA CLAIMS REFUND PROJECT Client:          Large non-bank mortgage servicer Challenge:   The client was not confident it had available internal analytical resources to deliver a time sensitive project involving claim recovery refunds that needed to be identified, calculated and submitted to the FHA in advance of a pending… Read more »

The FHA, USDA, VA and FHFA have all recently announced plans to officially extend their foreclosure moratorium programs through December 31st, 2020.  These actions will benefit millions of at-risk homeowners with mortgages insured or backed by these institutions.  Below are links to their respective websites and communications where you can get full details… FHA https://www.hud.gov/… Read more »

Mortgagee Letter 2020-22 released in July introduced a full suite of COVID-19 Loss Mitigation options available to borrowers who are affected by the COVID-19 Presidentially Declared National Emergency. These options expand upon the COVID-19 Forbearance and COVID-19 Standalone Partial claim introduced in ML 2020-06. For additional details, visit the HUD website – https://www.hud.gov/sites/dfiles/OCHCO/documents/20-22hsgml.pdf This mortgagee… Read more »

Enhancements to FHA’s Claims Without Conveyance of Title (CWCOT) Procedures The provisions of Mortgagee Letter 2020-21 may be used immediately, but must be used for all foreclosure sales associated with defaulted mortgages scheduled to occur on or after 90 days from the date of the ML (July 7, 2020). For additional details, visit the HUD… Read more »

HUD ML 2020-13 Extends the foreclosure and eviction moratorium through 6/30/2020. Vacant and abandoned properties are now excluded from the moratorium. The COVID-19 Forbearance must be reported as 06 – Formal Forbearance If a different code was previously reported, mortgagees should stop immediately and begin reporting code 06 Default Reason code 055 – Related to… Read more »

The forbearance guidelines for government-backed loans established as part of the CARES Act do not include a provision for claim filing. Upon forbearance expiration the borrower should be evaluated for a loss mitigation option to cure the default. Currently, FHA is the only agency that has provided a claim alternative beyond the standard available options,… Read more »