Fannie cracks the foreclosure whip 
Servicers warned to meet timelines or face fines
By Inman News, Friday, September 3, 2010.
Fannie Mae says it will begin fining loan servicers who take too long to complete foreclosures once it's been determined that delinquent borrowers don't qualify for a loan modification or other alternatives like short sales.
The fines -- or "compensatory fees" -- will be assessed when loan servicers can't provide a reasonable explanation for failing to meet timelines for completing routine foreclosures that vary from state to state, Fannie Mae said in a bulletin to servicers.
The time allotted to complete a foreclosure, starting from the referral of a loan file to an attorney or trustee until the date of a foreclosure sale, varies from as little as 60 days in Georgia, Michigan, Missouri, Tennessee, Texas, Virginia and West Virginia, to 300 days or more in Illinois, Maine, New Jersey, New York, Vermont and Wisconsin.
more...
Premium Member account.
Premium Members have full access to all news archives & premium content.
Purchase Premium+ Membership for $99/year OR
Premium Membership for $49/year
All rights reserved. This content may not be used or reproduced in any manner whatsoever, in part or in whole, without written permission of Inman News. Use of this content without permission is a violation of federal copyright law.
