HUD Revises Notice Requirements for FHA Mortgages in Default
Last month, the Department of Housing and Urban Development (HUD) issued new guidelines for lender notice to homeowners who are delinquent in the payment of their FHA loans. If you are delinquent, here’s what you can expect within sixty days after you are delinquent:
1) In the second month of your delinquency, you should receive a letter from your lender including specific information about your past due payments, the lender’s contact information (including a toll free number for their loss mitigation department), a toll-free number you can call to get information on housing counseling agencies approved by HUD, and a request for your current financial information.
2) In the second month of your delinquency, you will also receive a brochure, sent to you by your lender but prepared by HUD. The brochure is called: Save Your Home: Tips to Avoid Foreclosure.
These requirements kick in on February 10, 2014, and are intended to help you communicate with the parties who can assist you with mortgage-related issues. Seeking help early is key!