Here is information you can use, about your options and your rights. If you have a federally backed loan, the mortgage servicer is not permitted to ask you for proof of hardship. from the Covid-19 related disruptions. Servicers should discuss options with homeowners and determine eligibility. For people with upcoming deadlines, it may be a good idea to write a coronavirus hardship letter to ask for an extension. Thank you in advance for your understanding. COVID-19 HARDSHIP LOAN DEFERMENT . The new federal stimulus allows many homeowners to delay paying their mortgage for up to six months without penalties or fines. [Explain any special hardship circumstances. 0000007103 00000 n UPDATE: Since this video was released, federal agencies have provided more options to extend forbearance. My employer has ceased operations and I am unable to work . Fannie Mae and Freddie Mac have not have specified a deadline. What is a loan modification? Writing a hardship letter is mandatory if you want your lender to consider you for a short sale, loan modification, and temporary repayment plan. 0000001401 00000 n 3. It is important that you include actual examples of hardship and any plans you have for the future. You can ask for forbearance and tell your servicer that you are going through a financial hardship because of the pandemic. You will not be required to provide documentation of this hardship. There is no fee for this deferment. We have lived in our home for over 20 years and we want to work hard and keep it. Patience is still encouraged, and you may be able to reach your servicer by telephone or online. h�b```"^V��B cc`a���1�qf`�������v~��g��ex��� ���P�S�o�+�t/5@�;�Q�1 �TM4�ب Q��/�I��x��-. Lender Letter (LL-2020-02) March 18, 2020 To: All Fannie Mae Single-Family Servicers Impact of COVID-19 on Servicing Forbearance plan eligibility To assist borrowers who have experienced a hardship resulting from COVID-19 (for example, unemployment, reduction in regular Mortgage Hardship Letter Sample. You must request it from your mortgage servicer. Once a borrower requests hardship forbearance due to the COVID-19 pandemic, the act requires the servicer to offer a CARES Act forbearance. 2. Dear Mr. Williams: Other mortgages may also provide similar forbearance options. 0000005012 00000 n Forbearance is when your mortgage servicer or lender allows you to pause or reduce your mortgage payments for a limited time while you regain your financial footing. Please note that the maximum term for all COVID-19 forbearance plans combined is 360 days. 0000002961 00000 n What should I expect now? 1/12/2020. 0000001365 00000 n We’ll forward your complaint to the company and work to get you a response — generally within 15 days. We’ll help you write a letter to your loan servicer to delay your payments in case the law applies. If you are struggling with payments, servicers are generally required to discuss relief options with you, whether or not your loan is federally backed. Currently, landlords are not supposed to bring non-payment eviction cases against tenants who are eligible for unemployment insurance or experiencing financial hardship due to COVID-19. This includes most mortgages. We can help. Execute a Partial Claim in the amount of $7,020 to bring the Mortgage loan 157 0 obj <> endobj xref I completed my request for COVID-19 hardship assistance using the online form. You can talk with your mortgage servicer, or start with a HUD-approved housing counseling agency, to discuss a repayment plan that works for your situation. For mortgages backed by FHA/HUD, USDA or VA, the deadline to request initial forbearance is June 30, 2021. Tell your story briefly but including important Forbearance is not automatic. This letter serves as proof of hardship that _____ (Borrower Name) has been adversely affected by the COVID-19 outbreak in the following manner: Employment . You should notify your creditors when you experience financial difficulties. Alabama. State that you are having a financial hardship due to COVID-19. Major Creditor Response to COVID-19 Sample Mortgage Hardship Letter *More resources and articles will be added as they become available. Borrowers of a "Federal backed mortgage loan" on a multi-family property that has five (5) or more units will be eligible to request a 30-day forbearance if they are experiencing a financial hardship as a result of COVID-19. %PDF-1.5 %���� 0000005282 00000 n VERSION 1 ... servicers could develop a form letter that they send to all borrowers enrolled in the same short-term forbearance programs as a result of Please fill out the application and send it to Consumer Lending Team at consumerlending@shbamerica.com for expedited processing. This letter is to support our application for a loan modification plan that will help us to get our mortgage payments back on track with an affordable mortgage. This might seem like a big step to take, but taking action now can help you pause your payments and avoid foreclosure. Additionally, you can request an extension of forbearance for up to 180 additional days, for a total of 360 days. Phone number Tragically, many people have lost their lives to the virus. Español | 繁體中文 | Tiếng Việt | 한국어 | Tagalog | اَلْعَرَبِيَّةُ. Information about COVID-19 from the White House Coronavirus Task Force in conjunction with CDC, HHS, and other agency stakeholders.Visit coronavirus.gov, Information on what the U.S. Government is doing in response to COVID-19.Visit usa.gov (English) Visit usa.gov (Spanish). Request a COVID-19 Forbearance for your mortgage payments. You should steer clear of scams – especially offers to help that come with upfront fees – whether the offer is for your mortgage or for other services, like assistance with unemployment benefits or credit repair. Governor Kay Ivey granted temporary relief from residential evictions and foreclosures for … Robert Miller 123 Long Street Somewheretown, Best State 89012 Account Number: 1234567890. 0000002376 00000 n Visit consumerfinance.gov/find-a-housing-counselor or call the CFPB at (855) 411-CFPB (2372) to find a HUD-approved housing counselor, at no cost to you. 0000001220 00000 n trailer <]/Prev 891797>> startxref 0 %%EOF 173 0 obj <>stream 1THE BUREAU’S MORTGAGE SERVICING RULES-FAQS RELATED TO THE COVID-19 PANDEMIC. (Make copies, as necessary.) Mr. John Williams Loan Officer Your Bank 456 Middle Road Best Town, Best State 12812. A COVID-19 related hardship may include long-term or permanent disability, serious illness of a borrower, co-borrower or Terms and Conditions: 1. What if a borrower exits forbearance but is re-impacted financially by COVID-19? Published November 18, 2020 | By hardshipadvice. It also describes how credit unions should monitor and report loan modifications. 0000003611 00000 n hardship, there is an option to continue your financial relief through a forbearance extension at the end of your initial forbearance term. The majority of homeowners are eligible for forbearance for a coronavirus-related financial hardship. Have an issue with a financial product or service? Some servicers may have websites for you to understand your options and request forbearance. If you have been directly impacted by the coronavirus pandemic and need payment assistance, visit our COVID-19 website to complete an online hardship assistance form. We would like to discuss a repayment plan to make up for any missed rent payments related to the Covid-19 disruptions. Forbearance is when your mortgage servicer or lender allows you to pause or reduce your mortgage payments for a limited time while you regain your financial footing. No late fees You will be reported as current and there is no negative credit reporting during the forbearance period 0000003497 00000 n 157 17 Mortgage payment relief: Homeowners may opt into a forbearance plan, pausing mortgage loan payments for up to 12 months if they are experiencing financial hardship As of February 9, 2021 , borrowers with Freddie Mac or Fannie Mae loans can request an additional 3 months of mortgage forbearance, for up to 15 months total. For updates on COVID-19, visit the Centers for Disease Control and Prevention (CDC) or World Health Organization (WHO) The mortgage servicer will need to document the hardship as part of the request. A hardship letter is a very important piece of communication that you may need to write if you are in financial difficulty and want to have your loan modified. An official website of the United States government, Explore guides to help you plan for big financial goals, Taskforce on Federal Consumer Financial Law, Mortgage Forbearance during COVID-19: What to Know and What to Do, consumerfinance.gov/find-a-housing-counselor. We expect the situation to stabilize as soon as we receive disaster relief and/or stimulus funds or the stay at home orders in our state are lifted. It is very important that you write the letter in an accurate and polite manner, which may be enough to convince your mortgage provider that you […] Home Mortgage Hardship Assistance Request Form for COVID-19 Relief Thank you for contacting SHINHAN BANK AMERICA regarding for your financial hardships due to COVID-19. NCLC’s chart, Summary of Foreclosure Alternatives for Borrowers with COVID-19 Hardships (updated September 21, 2020), is a key resource summarizing available options for each type of mortgage loan, with links to applicable guidances, significant forbearance provisions beyond the CARES Act, and post-forbearance options. Many homeowners are struggling to make mortgage payments as a result of the coronavirus pandemic.