The following is contained by this servicing Guide Procedure:

Applying home financing Loan Payment

The servicer must use monthly payments into the purchase described within the table that is following in conformity with C-1.1-01, Servicer obligations for Processing Mortgage Loan re re Payments.

Instruments dated March 1999 or later on

3. Deposits for escrow products, as applicable. Such deposits can include:

fees and assessments;

home or MIPs;

leasehold payments or ground rents; and

community relationship dues, charges, and fees.

4. Belated fees, if any

Instruments dated before March 1999

1. Build up for insurance coverage and fees, if relevant

2. FHA service costs, if relevant

5. Belated costs, if any

Determining the Interest percentage of home financing Loan re Payment

The servicer must determine the home loan interest part of the payment that is monthly follows, relative to C-1.1-01, Servicer obligations for Processing real estate Loan re re re Payments.

a fixed-rate lien mortgage loan that is first

thirty days’ interest regarding the UPB as of the LPI date and using the present accrual rate.

a fixed-rate very first lien mortgage loan that is biweekly

2 weeks’ interest in the UPB as of the LPI date and utilizing the interest accrual rate that is current.

a fixed-rate second lien mortgage loan

each payment per month utilizing the payment-to-payment calculation technique, if this will be needed because of the protection tool. Otherwise, interest needs to be determined as outlined above.

each payment per month according to its relevant effective interest accrual date.

Note: numerous interest accrual rates may use.

Processing a Principal Curtailment

In the event that debtor includes a curtailment that is principal their payment per month as soon as the home loan is present, the servicer must use monthly obligations when you look at the order described within the following table, prior to Processing extra Principal re Payments for present home loans in C-1.2-01, Processing Additional Principal re re Payments.

because of the planned payment that is monthly

use the planned payment first, then use the major curtailment.

at any kind of period of the separately month

use the key curtailment first, then apply the following planned month-to-month repayment.

The servicer may, in accordance with Processing Additional Principal Payments for Current Mortgage Loans in C-1.2-01, Processing Additional Principal Payments, agree to reduce the P&I payment only (based on a re-amortization of the current UPB and using the current interest rate and remaining loan term) for any current portfolio mortgage loan or for a current first lien mortgage loan that is in an MBS pool after a substantial principal curtailment.

Gathering an Advance Made with respect to the Borrower at Payoff

When home financing loan is compensated in complete, the servicer accounts for collecting any improvements made with respect to the debtor together with the mortgage loan payoff, prior to C-1.2-03, Processing Payments in Comprehensive. The table that is following the servicer’s obligations pertaining to gathering improvements.

Gather any funds advanced with respect to the debtor.

Remit the payment as being a remittance that is special Fannie Mae, and within thirty days for the payoff date, if Fannie Mae advanced level the funds.

Note: The payment of improvements ought not to be included within the payoff proceeds.

Determining Interest on a Payoff

The servicer must calculate the amount of interest charged to the borrower in accordance with C-1.1-01, Servicer Responsibilities for Processing Mortgage Loan Payments

in line with the UPB regarding the home mortgage,

at the time of the LPI date, and

with the present interest accrual price.

A complete month’s interest payday loans Florida online should really be determined based on a 360–day 12 months, while a partial month’s interest should always be predicated on a 365–day 12 months.

The servicer of a lien that is second loan or an FHA Title I loan may not utilize the guideline of 78s ( or perhaps the amount of the digits) means for determining the attention unless Fannie Mae has provided approval because of this calculation technique.

The total amount of interest which may be charged to your debtor is specified when you look at the table that is following. This is simply not fundamentally the actual quantity of interest which is remitted to Fannie Mae. Also see C-3-02, Remitting Payoff Profits. The servicer must follow the procedures in F-1-21, accounting and remitting to Fannie Mae.

Main-stream first lien and second lien mortgage loans