A forbearance plan is a retention option in our workout hierarchy for a borrower with an eligible hardship that is temporary in nature and has not been resolved. A forbearance plan provides for a period of reduced or suspended contractual monthly mortgage payments, followed by a full reinstatement, mortgage loan payoff, or another workout option to enable the borrower to resolve the delinquency. For more information see Servicing Guide D2-3.2-01, Forbearance Plan.
Also, see Lender Letter LL-2021-02, Impact of COVID-19 on Servicing, where we have communicated temporary policies to enable servicers to better assist borrowers impacted by COVID-19.
See below for more information on COVID-19: