The Federal Housing Administration on Monday pushed the deadline for initial mortgage forbearance requests by two months as Congress extended
The FHA’s deadline was extended to Feb. 28, 2021, as part of its
Previous to this week’s announcement, the
Other housing agencies’ deadlines at press time were as follows, with some expectation that those with year-end deadlines could extend by at least one month into next year.
The USDA’s
The government-sponsored enterprises at deadline still had no specific deadline for forbearance requests, and a Jan. 31
The deadlines for CARES Act forbearance requests are important because not all programs are as consumer-friendly as what is offered through the legislation. CARES Act forbearance does not apply to private loans.
Under the CARES Act passed in March, forbearance for a coronavirus-related hardship must be provided upon request for 180 days, extendable by another 180 days, and the borrower must make up the payments later.
As a result, John Ryan, president and CEO of the Conference of State Bank Supervisors, has been calling for federal agencies to be clear on their deadlines for initial forbearance requests if one is imminent.
“The question for those agencies is, ‘Is there a date by which you have to request CARES Act forbearance from your servicer?’ State regulators feel it’s important that if that date is coming soon that they’re communicating with their constituents about that deadline,” said CSBS Communications Director Catherine Pickels.
Ryan on Tuesday applauded the collective effort by housing agencies to provide notice on any deadlines they have for forbearance requests.
“This action provides clarity on the appropriate covered period. Importantly, it also gives consumers a clear understanding of the relief available to them,” he said in an emailed statement.