Servicing Guide

Published September 9, 2020

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What are the servicer’s responsibilities if it is determined the borrower was eligible for a loan modification Trial Period Plan on their principal residence that they were previously denied for?

The following table describes the servicer’s requirements after review of an appeal if the servicer determines that the borrower was eligible for a mortgage loan modification Trial Period Plan for which the borrower was previously denied.

The servicer must...
 

Send the borrower an offer for such a Trial Period Plan for which the borrower was initially denied.

 

Provide the borrower 14 days from the date of the servicer’s appeal decision notice to indicate his or her intent to accept either the new offer or the initial offer, provided that the borrower continues to be eligible for the initial offer, in accordance with Sending a Notice of Decision on a Workout Option in D2-2-05, Receiving a Borrower Response Package.

For more information please see: D2-2-07, Resolving an Appeal of a Mortgage Loan Modification Trial Period Plan Denial for a Principal Residence.

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