Yesterday, the governor of New York announced steps to help those affected by COVID-19. He said banks would waive mortgage payments for 90 days and adjust the loan to include those payments on the back end. We're trying to operationally think through this process. For real estate loans, we cannot skip payments as easily as we do for non-real estate loans. Wouldn't this involve new flood certs, modification of the deed of trust, etc.?
Fannie Mae also released a Lender Letter instructing servicers to "suspend" credit reporting for affected loans during an active forbearance plan. According to CDIA guidelines, we should not suspend credit reporting altogether, we should code the loan as forbearance and continue to report. I contacted Fannie Mae for clarification and was unable to find someone knowledgeable about this subject.
While I absolutely appreciate the relief extended to borrowers, I'm struggling with how to accomplish this operationally. Thoughts?