Servicing Guide

Published November 10, 2020

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Does the servicer need to credit qualify a transferee when the previous borrower requests a release of liability?

If the previous borrower requests a release of liability, the servicer must determine that the transferee’s credit and financial capacity is acceptable (see F-1-29, Reviewing a Transfer of Ownership for Credit and Financial Capacity).

For more information please see: D1-4.1-02, Allowable Exemptions Due to the Type of Transfer.  

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Customers Recommend Ask Poli

If you have additional questions, Fannie Mae customers can visit Ask Poli to get information from other Fannie Mae published sources.

Guide Resources

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Visit Selling and Servicing Guide Communications and Forms

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