Effective July 1, 2010, participating servicers are required to consider eligible borrowers for the Home Affordable Unemployment Program (UP), which grants borrowers a forbearance plan during which regular monthly mortgage payments are reduced or suspended. Borrowers will be evaluated for HAMP at the earlier of re-employment or 30 days prior to the expiration of the UP forbearance plan.
UP Forbearance Plan Eligibility
The mortgage loan is secured by a one- to four-unit property, one unit of which is the borrower's principal residence.
The mortgage loan is a first lien mortgage loan originated on or before January 1, 2009.
The current unpaid principal balance of the mortgage loan is equal to or less than $729,750.1
The mortgage loan is delinquent or default is reasonably foreseeable.
The mortgage loan has not been previously modified under HAMP and the borrower has not previously received an UP forbearance period.
Additional UP forbearance plan eligibility requirements include that the borrower:
Makes a request before the first mortgage lien is seriously delinquent (before three monthly payments are due and unpaid). A request for UP may be made by phone, mail or email. Servicers must document the date of the UP request in the servicing file and, within 10 business days, confirm the receipt of the request with the borrower via mail or return email.
Is unemployed at the date of the request for UP and is able to document that he or she will receive unemployment benefits in the month of the Forbearance Period Effective Date (defined below) even if his or her unemployment benefit eligibility is scheduled to expire before the end of the UP forbearance period.
For details of the program see info
Home Affordable Unemployment Program
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