Additional MPF Traditional Accommodations for COVID-19 Payment Deferrals
As borrowers near the end of the forbearance period, many servicers have experienced difficulties obtaining the Mortgage Partnership Finance® (MPF®) Program supporting documentation required for COVID-19 payment deferral approval. In an effort to streamline the process, the Federal Home Loan Bank of Chicago (FHLBank Chicago) is providing relief for its MPF Traditional (Conventional and Government) loans.
COVID-19 Related Servicing Guidance for FHLBank Chicago MPF Traditional (Conventional) Loans
Please review the following section for specific servicing guidance for MPF Traditional (Conditional) loans.
COVID-19 Payment Deferral Plan (Conventional)
COVID-19 Related Servicing Guidance for FHLBank Chicago MPF Traditional (Government) Loans
FHLBank Chicago is allowing COVID-19 Payment Deferrals for Government loans. Servicers are no longer required to repurchase these loans in order to modify them. Servicers should follow the same guidance listed below for government and conventional loans and must also follow the policies and guidance issued by the applicable government agencies.
COVID-19 Related Servicing Reminders
Servicers who have finalized an initial 90-day or post-initial 90-day forbearance plan workout option are to report the loans in forbearance by providing a Delinquent Mortgage Report (Servicing Guide Exhibit B).
We're Here to Help
For MPF product and operational support questions, please contact the MPF Sales Support team at mpfsales@fhlbc.com. For MPF pricing questions, locking delivery commitments, and funding loans, please contact the MPF Service Center at mpf-help@fhlbc.com.
COVID-19 Related Servicing Guidance for FHLBank Chicago MPF Traditional (Conventional) Loans
Please review the following section for specific servicing guidance for MPF Traditional (Conditional) loans.
COVID-19 Payment Deferral Plan (Conventional)
Servicers are required to upload the following completed items to eMAQCS® Plus:
- Workout Worksheet (Form SG354) – no borrower documentation attachments are required
- COVID-19 Payment Deferral Plan Worksheet (Appendix B)
- 12-month payment history for the borrower
- Insurer Approval Letter, if applicable
- No additional documentation is required
COVID-19 Related Servicing Guidance for FHLBank Chicago MPF Traditional (Government) Loans
FHLBank Chicago is allowing COVID-19 Payment Deferrals for Government loans. Servicers are no longer required to repurchase these loans in order to modify them. Servicers should follow the same guidance listed below for government and conventional loans and must also follow the policies and guidance issued by the applicable government agencies.
COVID-19 Payment Deferral Plan Guidance (Government)
Servicers are required to email the following completed items to MPF Sales Support at mpfsales@fhlbc.com:
- COVID-19 Payment Deferral Plan Worksheet (Appendix B)
- Draft of payment deferral agreement (unsigned)
- 12-month payment history for the borrower
- No additional documentation is required
COVID-19 Related Servicing Reminders
Servicers who have finalized an initial 90-day or post-initial 90-day forbearance plan workout option are to report the loans in forbearance by providing a Delinquent Mortgage Report (Servicing Guide Exhibit B).
Initial 90-day Forbearance Period
- The servicer must report the loan on the Delinquent Mortgage & Bankruptcy Status Report (Exhibit B) monthly with an Action Code = 12, a Delinquency Status Code = 9, or a Delinquency Reason Code = 22.
Post-initial 90-day Forbearance Plan
- The servicer must report the loan on the Delinquent Mortgage & Bankruptcy Status Report (Exhibit B) monthly with an Action Code = 20, a Delinquency Status Code = 9, a Delinquency Reason Code = 22, or a Loss Mitigation Type = FFA (Formal Forbearance Agreement), if applicable.
PFI and Servicer Accommodations and Reminders
- MPF Government loans and MPF Government mortgage-backed securities (MBS) loans must follow relief policies and guidance issued by the applicable government agencies.
- MPF Xtra® loans must follow relief policies and guidance issued by Fannie Mae.
- Servicers are required to abide by any/all federal or state laws as well as the most recent COVID-19 servicing guidelines for other COVID-19 workout options.
We're Here to Help
For MPF product and operational support questions, please contact the MPF Sales Support team at mpfsales@fhlbc.com. For MPF pricing questions, locking delivery commitments, and funding loans, please contact the MPF Service Center at mpf-help@fhlbc.com.