SUBJECT: FREDDIE MAC INVESTOR REPORTING CHANGE INITIATIVE

Transcription

1 TO: Freddie Mac Sellers and Servicers April 12, SUBJECT: FREDDIE MAC INVESTOR REPORTING CHANGE INITIATIVE Background In Guide Bulletin , we announced the Investor Reporting Change Initiative ( Initiative ) that will convert our single-family investor reporting requirements to be closer to an industry standard and update our remittance cycles. Through the Initiative, we will streamline the reporting process, achieve operational efficiencies and provide Seller/Servicers a more complete view of investor reporting data. The Initiative will also support and enhance the upcoming Single Security initiative. Implementation date As announced in our March 23, 2017 Single Family News Center article, in response to Seller/Servicer feedback and with the understanding that the Initiative is a significant effort, we are extending the implementation date for the Initiative from October 2018 to May 1, Topics for this Bulletin In support of the Initiative, we are: Providing detailed requirements for: Accounting Cycle and investor reporting The remittance cycle, type and method Accounting reporting methods Calculating Mortgage interest due to Freddie Mac Subsequent Transfers of Servicing Revising our requirements to: Streamline reporting for the inactivation of a Mortgage Streamline reporting for the full reinstatement of a Mortgage Permit partial payments for a partial reinstatement of a Mortgage Process and settle loan modifications on a daily basis Providing the following: Updates to the Glossary, including several new defined terms New reports in the Freddie Mac Service Loans application for investor reporting data Requirements and guidance for transitioning to the Initiative ACCOUNTING CYCLE AND INVESTOR REPORTING Accounting Cycle The Freddie Mac Accounting Cycle will convert from a one-month period beginning on the 16 th of each month and ending on the 15 th of the following month, to a one-month period beginning on the first day of the calendar month and ending on the last day of the calendar month. Servicer reporting for the Accounting Cycle must be completed

2 no later than the last day of the month plus one Business Day. We are updating the Glossary to add a definition for the term Accounting Cycle. Investor reporting Throughout the Accounting Cycle, to better manage their workflows, Servicers are encouraged, but not required, to report daily. At a minimum, Servicers must submit one loan-level transaction for each Mortgage serviced for Freddie Mac once a month no later than the 15 th day of the month (or the next Business Day if the 15 th day falls on a weekend or holiday), referred to as the P&I Determination, regardless of whether any activity has occurred on the Mortgage. We are updating the Glossary to add a definition for the term P&I Determination. Servicers must report any revisions that occur on or before the P&I Determination as soon as possible, but no later than the P&I Determination. A revision that occurs after the P&I Determination must be reported no later than the end of the month plus one Business Day. The DDLPI reported via loan-level investor reporting will be considered the source of record for determining Mortgage status and Delinquency. Investor reporting compensatory fees Currently, Freddie Mac assesses a compensatory fee when a Servicer fails to report all required information for at least 80% of the loans it services for Freddie Mac by the end of the fifth Business Day after the Accounting Cycle Cutoff. With the implementation of the Initiative and the introduction of daily reporting, we believe Servicers will be able to increase their operational efficiency and streamline their investor reporting. Therefore, beginning on and after May 1, 2019, we are eliminating the Reporting Noncompliance Compensatory Fee All Loans. In instances where a Servicer does not submit a loan-level transaction or fails to clear outstanding edits by the end of the Accounting Cycle, Freddie Mac will simulate the loan-level transaction. In these situations, Servicers could be subject to an Unreported Transaction and Loan Simulation Compensatory Fee. Guide Form 59, Principal and Interest Custodial Account Reconciliation Worksheet Monthly Account Statement In support of the Initiative, we are revising Form 59 as follows: Expanding Section 1 Adjusted Bank Balance to include: The prior month ending balance Additional lines for the current month bank statement debits and credits, which are used in the calculation for the current cycle adjusted bank balance Modifying the instructions to conform to the new Accounting Cycle (the first day through the last day of the calendar month) Guide impacts As a result of these changes, we are revising Guide Sections , , , , through , , , , , , , , , , through , , , , , , , , , through , through , through , , , , , , , , , and , Guide Exhibits 60, 72 and 96 and Form 59 and Glossary A-I. REMITTANCE CYCLE, TYPE AND METHOD Standard Remittance Cycle Currently, the Gold remittance cycle, Accelerated Remittance Cycle (ARC), Super ARC and the First Tuesday remittance cycle are available for Mortgages sold to or serviced for Freddie Mac. Page 2

3 Effective May 1, 2019, the Standard Remittance Cycle must be utilized by Servicers for all Mortgages serviced for Freddie Mac. Under the Standard Remittance Cycle, monthly principal and interest will be due on the second Business Day following the P&I Determination. We are updating the Glossary to add a definition for the term Standard Remittance Cycle. s will continue to be due on the fifth Business Day after the Mortgage. Note: Seller/Servicers with a negotiated term of business providing for a different payoff remittance due date are not impacted by the Initiative implementation; those terms will continue to be effective. For Guarantor and MultiLender Swap Contracts, the Selling System will be updated on March 2, 2019 to include the Standard Remittance Cycle. For Guarantor and MultiLender Swap Contracts taken out on and after March 2, 2019 with Settlement s on and after May 1, 2019, the Standard Remittance Cycle will be the only remittance cycle the Seller may select. For Cash Contracts taken out on and before April 30, 2019, Sellers may continue to select currently available remittance cycles; however, on and after May 1, 2019, the Standard Remittance Cycle will apply to loans sold under those contracts. Loans funding on and after May 1, 2019 will fund with the Standard Remittance Cycle regardless of when the Cash Contract was taken out. The table below provides remittance cycle details by contract type and the date the contract is taken out: Contract type Taken out on and after March 2, 2019 and on and before April 30, 2019 Taken out on and after May 1, 2019 Guarantor/MultiLender Cash All current remittance options will be available for contracts with Settlement s before May 1, 2019; however, the Standard Remittance Cycle will apply to those loans beginning May 1, No Change; all current remittance options will be available until April 30, 2019; however, the Standard Remittance Cycle will apply to those loans beginning May 1, Only the Standard Remittance Cycle will be available. Only the Standard Remittance Cycle will be available Note: Loans funding on or after May 1, 2019 will fund with the Standard Remittance Cycle regardless of when the Cash Contract was taken out Remittance type Under the Standard Remittance Cycle, Servicers will report the actual principal received and will report the forecasted scheduled interest based on the UPB reported at the end of the current Accounting Cycle. This UPB is referred to and defined in the Glossary as Ending UPB. After April 30, 2019, Freddie Mac will no longer utilize the scheduled/scheduled remittance type. Remittance method Each month, beginning with the month of June 2019, Freddie Mac will draft, via Automated Clearing House (ACH) transaction, monthly principal and interest directly from a Servicer s designated P&I Custodial Account on the second Business Day following the P&I Determination (such date referred to and defined in the Glossary as P&I Draft ). Freddie Mac will draft payoffs that are successfully reported within two Business Days of the payoff on the fifth Business Day following the payoff. s reported three or more days after the payoff will be considered late and will be drafted on the second Business Day after the payoff is successfully reported. Each date on which payoffs will be drafted is referred to as the applicable Draft. On the second Business Day prior to a Draft, referred to as the Determination, Freddie Mac will determine the payoff amount and notify Servicers via the Draft Report. Definitions for the terms Draft and Determination are being added to the Glossary. Page 3

4 Refer to Attachment A to this Bulletin, Future P&I Reporting s and Drafting Timelines, for examples that highlight: The loan activity reporting and drafting timeline for principal and interest The relationship between the P&I Determination and the P&I Draft The relationship between the payoff reporting date, the Determination and the Draft Guide impacts As a result of these changes, we are revising the title of Guide Chapter 8303, deleting Sections , , through , , and , Exhibits 6, 66 and 68 and Form We are also revising Sections , , , , , , , , , , , , , , , , , , , , through , , , through , through , through , , through , , , , , , , , , , , , , , , , , , and , 960, 981 and 1205 and Glossaries A-I, J-Q and R-Z and Directories 3, 6 and 7 Seller/Servicers will be notified when the Guide sample Forms 15, 15A and 15C, as generated by the Selling System, are updated to reflect these changes. The samples forms will be updated by May 1, ACCOUNTING REPORTING METHODS Currently, Servicers can utilize three accounting reporting methods to pass through principal and interest to Freddie Mac: Net Yield, Scheduled/Scheduled and the Alternate Method. Once the Initiative is implemented, Servicers will be required to use the Net Yield accounting reporting method to pass through principal and interest for all loans they service for Freddie Mac. Note: Servicers that service existing daily simple interest loans that require the use of the Alternate Method will be provided new negotiated terms of business to allow them to continue to utilize the Alternate Method for those loans. Guide impacts: Section and Directory 7 CALCULATING MORTGAGE INTEREST DUE TO FREDDIE MAC Beginning May 1, 2019, Servicers must report the forecasted scheduled interest to be drafted in the following Accounting Cycle by multiplying the current Accounting Cycle interest-bearing Ending UPB by the Accounting Net Yield (ANY) divided by 12, as shown in the equation below: Interest due Freddie Mac = current Accounting Cycle interest-bearing Ending UPB X (ANY/12) Guide impacts: Section and Exhibit 61 SUBSEQUENT TRANSFERS OF SERVICING Currently, the Effective of Transfer for Subsequent Transfers of Servicing is the 16 th day of the month of transfer. Once the Initiative is implemented, the Effective of Transfer will be the first day of the month of transfer. The definition for the Glossary term Effective of Transfer is being updated to reflect this change. To facilitate this transition, we will implement a temporary moratorium on Subsequent Transfers of Servicing activities during the month of and the month after the Initiative is implemented (i.e. the following Effective s of Transfer will be ineligible for a Subsequent Transfer of Servicing: May 16, 2019 and June 1, 2019). Prior to implementation of the Initiative, the last Effective of Transfer that will be approved is April 16, After implementation, the next available transfer effective date will be July 1, Note: Newly-funded loans with Concurrent Transfers of Servicing and loans sold through the Servicing-Released Sales Process will not be effected by this temporary moratorium. Page 4

5 We are updating Form 981, Agreement for Subsequent Transfer of Servicing of Single-Family Mortgages, to reflect this change. However, the electronic fillable fields version will be posted with a future Bulletin. Guide impacts: Sections and , Forms 981 and 1034T and Glossary A-I INACTIVATION, REINSTATEMENT AND MODIFICATION OF A MORTGAGE Inactivation of a Mortgage Currently, Servicers must refer a Mortgage to foreclosure before they may report the Mortgage as inactive and suspend remitting funds to Freddie Mac. Once the Initiative is implemented, we will remove the requirement. Servicers will no longer be required to report EDR default action code 43 (Referral to Foreclosure) to inactivate a Mortgage. However, EDR default action code 43 will still be required upon referral to foreclosure. Once the Initiative is implemented, Servicers may change the reporting status of a Mortgage to inactive in the Accounting Cycle it becomes 120 days delinquent (four payments past due) either by selecting inactivation in the Service Loans application or reporting Loan Level Reporting exception code 40 (Inactivation). If the Servicer does not inactivate the Mortgage in the Accounting Cycle it becomes 120 days delinquent, Freddie Mac will inactivate the Mortgage. Once the Mortgage is inactivated, Freddie Mac will not draft monthly principal and interest until the Mortgage is partially or fully reinstated. Reinstatement of a Mortgage Full reinstatement Servicers will no longer be required to report EDR default action code 20 (Reinstatement) prior to reinstating a Mortgage. If the reported payment activity is sufficient to cover all delinquent principal and interest plus forecasted scheduled interest for the next Accounting Cycle, Freddie Mac will reinstate the Mortgage and update EDR to reflect the reinstatement. Servicers are encouraged, but not required, to report Loan Level Reporting exception code 50 (Reinstatement) to reflect the reinstatement. The table below provides full reinstatement reporting requirements and timing for Freddie Mac drafting of the collected principal and interest: Full reinstatement reporting requirements (the reported DDLPI must be in the current or future Accounting Cycle) If the previously reported DDLPI is On or before the inactivation date After the inactivation date Then the Servicer must report The principal from the previously reported DDLPI to the current Accounting Cycle (or greater) and interest from the inactivation date to the current cycle plus the forecasted scheduled interest for the next Accounting Cycle The principal from the previously reported DDLPI to the current Accounting Cycle (or greater) and interest from the previously reported DDLPI to the current cycle plus the forecasted scheduled interest for the next Accounting Cycle Page 5

6 Drafting timing If the Servicer reports the reinstatement payment activity On or before the P&I Determination Drafting timing If the Servicer reports the reinstatement payment activity After the P&I Determination Then Freddie Mac will draft The principal on the P&I Draft of the current Accounting Cycle Delinquent and the forecasted scheduled interest on the P&I Draft of the following Accounting Cycle Then Freddie Mac will draft The principal on the P&I Draft of the following Accounting Cycle Delinquent and the forecasted scheduled interest on the P&I Draft of the following Accounting Cycle Partial reinstatement Currently, we do not permit partial reinstatements without the Servicer first advancing the total amount of delinquent interest to fully reinstate the Mortgage. Once the Initiative is implemented, Servicers will be able to accept payments equivalent to increments of (at least) one monthly principal payment and delinquent interest and advance the DDLPI on an inactive Mortgage without first bringing the Mortgage current. The table below provides partial reinstatement reporting requirements and timing for Freddie Mac drafting of the collected principal and interest: Partial reinstatement reporting requirements (the reported DDLPI must NOT be in the current or future Accounting Cycle) If the reported DDLPI is On or before the inactivation date After the inactivation date Drafting timing If the Servicer reports the payment activity On or before the P&I Determination After the P&I Determination Then the Servicer must report The principal received and accepted (increments of at least one full expected principal payment) and zero interest The principal received and accepted (increments of at least one full expected principal payment) and the corresponding delinquent interest amount Then Freddie Mac will draft The principal on the P&I Draft of the current Accounting Cycle Delinquent and the forecasted scheduled interest on the P&I Draft of the following Accounting Cycle The principal on the P&I Draft of the following Accounting Cycle Delinquent and the forecasted scheduled interest on the P&I Draft of the following Accounting Cycle Page 6

7 Until brought current, the inactivation date will not change and the Mortgage will remain inactive regardless of the number of delinquent payments received. Loan modifications Currently, Freddie Mac settles loan modifications once per month which often inhibits Servicers from reporting on the modified mortgage terms in the current Accounting Cycle. On and after June 1, 2019, Freddie Mac will process and settle loan modifications on a daily basis. With loan modifications processed and settled on a daily basis, Servicers must report newly modified mortgage terms as follows: If the loan modification was settled in the current Accounting Cycle. With the first modified payment due in the following month With the first modified payment due in the current month And the Modification Effective (first modified payment due date) is in a past Accounting Cycle, the Mortgage will remain inactive after the loan modification Then the Servicer must. Report the next month s forecasted scheduled interest based on the modified terms in the current Accounting Cycle Report the principal and forecasted scheduled interest based on the newly modified terms in the current Accounting Cycle. Note: If the loan modification settles after the P&I Determination and the Servicer does not report the modified loan data, Freddie Mac will simulate the loan activity. Complete a full reinstatement. Refer to Section (a) for reporting the corresponding payment and DDLPI date change. (The DDLPI would change to the same date as the Modification Effective ). As part of the Initiative, Freddie Mac will update the existing Loan Modifications Processed Report and rename it the Loan Modifications Status Report. The Loan Modifications Status Report will notify Servicers daily of loan modifications that have settled or have processing errors. Guide impacts As a result of these changes, we are revising Sections , and GLOSSARY UPDATES To support implementation of the Initiative, we will introduce and revise the following defined terms in the Glossary: Glossary term Definition New terms Accounting Cycle Ending UPB P&I Determination The one-month period beginning on the first day of the calendar month. Servicer reporting for the Accounting Cycle must be completed no later than the last day of the calendar month plus one Business Day. The UPB as of the end of an Accounting Cycle. The 15 th calendar day of the month (or next Business Day if the 15 th calendar day falls on a weekend or holiday). Page 7

8 Glossary term P&I Draft Draft Determination Standard Remittance Cycle Definition The second Business Day following the P&I Determination. Two Business Days after the Determination. The date that Freddie Mac determines the amount it will draft based on Servicer reporting. For payoffs reported within two Business Days of the payoff, the Determination will be two Business Days before the Draft. s reported three or more Business days after the payoff are late and the Determination will be the same day the payoff was successfully reported. The remittance cycle for which Freddie Mac calculates the actual principal and forecasted scheduled interest based on the Servicer s successful loan-level reporting as of the P&I Determination that is due on the second Business Day after the P&I Determination. In the Selling System, this term can be used interchangeably with Standard Remittance Option. Revised terms Accounting Net Yield (ANY) Effective of Transfer The net yield rate that the Servicer uses to calculate the amount of interest due to Freddie Mac each month. The ANY for each Mortgage is equal to the Note Rate less the Servicing Spread of the Mortgage. The ANY for Mortgages purchased through RNY Cash or ARM Cash equals the Required Net Yield (RNY) except for Mortgages sold to Freddie Mac at a discount. For a Concurrent Transfer of Servicing, the Effective of Transfer is the applicable Funding or Settlement. For a Subsequent Transfer of Servicing, the Effective of Transfer is the first calendar day of the month of the transfer, unless otherwise approved by Freddie Mac. We will also delete the Glossary term Accounting Cycle Cutoff, effective May 1, NEW REPORTS AND DATA FILE AVAILABLE IN THE SERVICE LOANS APPLICATION As provided in our technical specifications announced in our January 18, 2017 Single-Family News Center article, we are creating new reports and a new data file to provide Servicers a concise view of investor reporting data. The following chart summarizes the new reports that will be available in the Service Loans application beginning on May 1, 2019: Name of report Summary of report Frequency Draft Report A cumulative view of the amounts that will be drafted in a given month. This report provides: Daily Page 8

9 Name of report Summary of report Frequency Summary level amount due per draft date Transaction level detail (P&I, liquidation and adjustments) Aggregate amount due at the loan level Negative Principal Reduction Report P&I Recast Report Liquidations Pending Charge-off Credit Report TOS Liquidation Report Future Step Rate Schedule Report Non Sufficient Funds Report Loan Modification Status Report (Note: This report was formerly titled, Loan Modifications Processed Report) Response File A cumulative view of loans that had a curtailment reversal/negative principal reduction amount greater than the allowable threshold of $3,000 (Warning #708) in the Accounting Cycle A cumulative view of loans with a recast exception event due to a P&I constant change during the Accounting Cycle A cumulative view of liquidations (e.g., short sales and foreclosures) that have been reported in Loan Level Reporting that have not yet received any applicable charge-off credits A cumulative view of all loans within the Transfer of Servicing population that were liquidated prior to the Effective of Transfer A report that includes all loans with future step rate schedule information A report that summarizes the NSF transactions to-date in Freddie Mac s Cash Management system A cumulative view of loans in either of the following categories: Settled modifications Modifications with processing errors An outbound file from Freddie Mac that provides loan level details for each Loan Level Reporting (LLR) file processed. This file will contain both successful and unsuccessful transactions. Daily Daily Daily Daily Monthly Adhoc Daily Multiple times per day Additionally, to help Servicers improve their investor reporting, we will continue to provide Servicers the Warning Report on a daily basis. This report highlights loan-level transactions that had discrepancies accepted by Freddie Mac that do not require the Servicer to take action but for which a review is recommended. Servicers should use this report to determine whether the correct loan transaction was processed. If the correct loan transaction was not processed, the Servicer must submit a revision. On May 1, 2019, the following reports will be retired in the Service Loans application: Remittance Detail, Seller/Servicer Remittance Analysis, Remittance Analysis Amount Drilldown, Remittance Analysis Amount Received Drilldown and the Minority Billing report. Page 9

10 Refer to the Reports Summary tab of the Investor Reporting Change Initiative Service Loans application Reports Summary spreadsheet for the full list of the new, updated and retired reports in the Service Loans application associated with the Initiative as well as a summary of each report. Guide impacts: Sections , , , , through , through , , , , and REQUIREMENTS AND GUIDANCE FOR TRANSITIONING TO THE INITIATIVE To smoothly and efficiently transition from existing investor reporting and remitting requirements to the changes that we are implementing with the Initiative, we are developing a cutover strategy. While we will publish details of this strategy in a future Guide Bulletin, to allow Servicers to begin to develop operational requirements, we are providing the broad parameters of the cutover strategy as follows: Reporting activity May 16, 2019 through May 20, 2019 ( Initial Cutoff Reporting ) To meet the Initiative implementation date, during this period, Servicers must: Report for the May 2019 Accounting Cycle Cutoff no later than May 20, 2019 Report principal reduction and accrued interest from April 16, 2019 through May 15, 2019 Report accrued interest Clear all edits by May 20, 2019 Remit principal and interest activity via Global Payment Incorporated call-in according to the pre-cutover remittance option for the loan activity Report payoff activity up to May 15, 2019 using the pre-cutover reporting and remittance guidelines Loan modifications that occur between April 11, 2019 through May 13, 2019 will be processed on May 13, Reporting activity during the extended May Accounting Cycle (this is once the Servicer has deployed the necessary changes): To meet the Initiative implementation date, during this period, Servicers must: Report additional loan-level activity from May 16, 2019 through May 31, 2019, combining all principal and non-payoff exceptions with data previously reported in Initial Cutoff Reporting Report forecasted scheduled interest for loans with additional loan-level activity Report payoff activity from May 16, 2019 through May 31, 2019 according to the new investor reporting requirements Additionally, Freddie Mac will draft: Principal and interest activity directly from the Servicer s designated P&I Custodial Account on the P&I Draft two business days after the P&I Determination in June (June 19, 2019) amounts directly from Servicer s designated P&I Custodial Account on the Draft beginning June 3, 2019 Loan modifications Freddie Mac will process loan modifications as follows: Loan modifications that occur between May 1, 2019 through May 13, 2019 will be processed on May 13, 2019 Loan modifications that occur between May 14, 2019 through May 31, 2019 will be processed on June 3, 2019 Freddie Mac will begin processing loan modifications on a daily basis starting on June 3, 2019 Page 10

11 Testing Freddie Mac is developing a testing plan for the Initiative and will announce details of this plan in a future communication STAY INFORMED We will continue to post additional information regarding requirements and specifications for the Initiative on the Investor Reporting Change Initiative web page as they become available. As a reminder, these requirements and specifications constitute Purchase Documents. Seller/Servicers should visit the web page periodically for the latest news and frequently asked questions. Seller/Servicers should also subscribe to the Single-Family Business Subscription Center to receive additional Initiative updates as they are published. We will also provide resources on the Freddie Mac Learning Center in the future. GUIDE UPDATES SPREADSHEET For a detailed list of the Guide updates associated with this Bulletin and the topics with which they correspond, refer to the Bulletin (Investor Reporting Change Initiative) Guide Updates Spreadsheet available at CONCLUSION Freddie Mac is committed to providing information to Seller/Servicers to allow as much time as possible to implement the Initiative. The requirements we have provided in this Bulletin provide Seller/Servicers the information they need to plan for implementation of the Initiative and incorporate the investor reporting changes into their policies and procedures. We will provide more detailed information on the transition strategy and testing plan in future communications later this year. If you have any questions about the changes announced in this Bulletin, please contact your Freddie Mac representative or call Customer Support at (800) FREDDIE. Sincerely, Yvette W. Gilmore Vice President Servicer Performance Management Page 11

12 Attachment A to Bulletin Future P&I Reporting s and Drafting Timeline (a) Loan Activity Reporting and Drafting Timeline for P&I P&I Determination /All-in Reporting: The date by which the Servicer is required to report a loan level record for each loan in its portfolio, and the date that Freddie Mac will calculate the draft of the actual principal that has been collected and successfully reported for the current Accounting Cycle. (b) Relationship Between P&I Determination and P&I Draft P&I Determination Actual P&I Determination P&I Draft 15th (Monday) 15th (Monday) 17th (Wednesday) 15th (Tuesday) 15th (Tuesday) 17th (Thursday) 15th (Wednesday) 15th (Wednesday) 17th (Friday) 15th (Thursday) 15th (Thursday) 19th (Monday) 15th (Friday) 15th (Friday) 19th (Tuesday) 15th (Saturday) 17th (Monday) 19th (Wednesday) 15th (Sunday) 16th (Monday) 18th (Wednesday) Bulletin Attachment A Page 1

13 (c) Relationship Between Reporting, Determination and Draft Scenario Mon. 1-May Tues. 2-May Wed. 3-May Thurs. 4-May Fri. 5-May Sat. 6-May Sun. 7-May Mon. 8-May Tues. 9-May Wed. 10-May Timely Reporting - Example 1 reported to FM Determination Draft Timely Reporting - Example 2 reported to FM Determination Draft PO Reported Late - Example 1 reported to FM AND Determination Draft PO Reported Late - Example 2 reported to FM AND Determination Draft PO Reported Late - Example 3 reported to FM AND Determination Draft Short Sale Reported Timely - Example 1 reported to FM Short Sale settles on FM systems Determination Draft and Charge-off Adjustment Draft Short Sale Reported Timely - Example 2 reported to FM Determination Short Sale settles on FM systems Draft Charge-off Adjustment Draft Note that FM refers to Freddie Mac. Bulletin Attachment A Page 2

14 TO: Freddie Mac Servicers April 20, SUBJECT: SERVICING UPDATES This Guide Bulletin announces: Certificate of incumbency Certificate of incumbency (COI) requirements for Servicers June 1, 2017 (New) Freddie Mac Flex Modification SM Instructions for submitting data relating to Flex Modification Trial Period Plans to Freddie Mac via Workout Prospector May 1, 2017 Reimbursement Requirements for requesting reimbursement for expenses associated with clear boarding broken windows New Updates to provide greater detail of the process for requesting reimbursement of unrecoverable expenses June 5, 2017 Revisions to our attorney fee reimbursement amounts related to: Uncontested foreclosures Bankruptcy services Mediation Bulk trials in New York to accelerate foreclosure actions Condominium Project and Planned Unit Development insurance The elimination of certain insurance coverage requirements for Condominium Projects that are reviewed under the Detached Condominium Project review type Updates to Common Elements insurance requirements for Planned Unit Developments (PUDs) Additional Guide updates and reminders Further updates as described in the Additional Guide Updates and Reminders section of this Bulletin EFFECTIVE DATE All of the changes announced in this Bulletin are effective immediately unless otherwise noted. CERTIFICATE OF INCUMBENCY We are updating Guide Forms 988SF-1, 988SF-2 and 989SF and the addenda to those forms, Forms 988ASF and 989ASF (collectively, the COI forms ), to make them applicable to Servicers as well as Sellers. The updated COI forms have been revised to identify employees authorized to provide Wire Transfer Instructions (as described in Guide Section ) in connection with the sale of Mortgages to and/or the Servicing of Mortgages for Freddie Mac in Part (A) and Part (B), respectively. Each Servicer must submit the necessary COI forms, together with a resolution of the Servicer s board of directors or other governing body (the Resolution ) identifying the Servicer s employees authorized to provide Wire Transfer Instructions ( Authorized Employees ) solely in connection with the Servicing of Mortgages.

15 Servicers may, and are encouraged to, begin submitting the applicable COI forms, Resolution and any other required forms and documents described in Section to Freddie Mac on and after June 1, Servicers that are not also approved Freddie Mac Sellers must submit COI forms and documents, and those documents must be accepted by Freddie Mac, no later than December 31, Seller/Servicers that have already submitted COI forms to authorize employees to provide Wire Transfer Instructions to Freddie Mac do not need to submit new COI forms at this time, unless they otherwise need to submit a new COI form or their renewal COI is due. Any COI renewal required on and after June 1, 2017 and/or any COI changes on and after June 1, 2017 must be submitted on the new Seller/Servicer COI form(s) announced in this Bulletin. Exhibit 98, Expense Reimbursement/Incentive Payment Authorization Agreement for ACH Credits As announced in Bulletin , Servicers must be set up to receive reimbursement of expenses and payment of incentives via Automated Clearing House (ACH) credit entries into their commercial checking accounts. As part of that setup, a Servicer must execute and submit Exhibit 98. Effective January 1, 2018, any new Exhibit 98 must be executed by a Servicer employee who is an Authorized Employee on Part B of the updated COI form(s). Servicers required to submit COI forms and documents by December 31, 2017 that have already submitted an Exhibit 98 should review that Exhibit 98 to confirm that the payee signer is an Authorized Employee on Part B of the updated COI form(s). Form 1132, Authorization for Automatic Transfer of Funds through the Automated Clearing House (ACH) We have updated the instructions to Form 1132 to reflect the requirement for a Servicer Authorized Employee to provide ACH authorization and instructions for performing loans and nonperforming loans invoices. Effective January 1, 2018, any new Form 1132 for purposes of providing ACH authorization and instructions for performing loans and nonperforming loans invoices must be executed by a Servicer employee who is an Authorized Employee on Part B of the updated COI form(s). Guide impacts Sections , , , , and , Exhibit 98 and Forms 988SF-1, 988SF-2, 988ASF, 989SF, 989ASF and 1132 are being updated to reflect these COI requirement changes. FREDDIE MAC FLEX MODIFICATION As announced in Bulletin , Servicers must submit all Flex Modification Trial Period Plan data to Freddie Mac via Workout Prospector, beginning May 1, Effective May 1, 2017, we are updating the Workout Prospector Users Guide with instructions for generating terms for a Flex Modification and submitting Flex Modification Trial Period Plan data to Freddie Mac. Flex Modification data for all Mortgages except those with a post-modification mark-to-market loan-to-value (MTMLTV) ratio greater than 100% must be submitted to Freddie Mac following the instructions in the Workout Prospector Users Guide. Prior to June 5, 2017, Servicers must temporarily submit Flex Modification data for Mortgages with a postmodification MTMLTV ratio greater than 100% via the exception path in Workout Prospector. When submitting the data via the exception path, the Servicer must clearly communicate in the comments section of Workout Prospector that it is submitting a request for approved Trial Period Plan terms for a Flex Modification Trial Period for a Mortgage with a post-modification MTMLTV ratio that exceeds 100%. Freddie Mac will generate the terms of the Trial Period Plan and respond to the Servicer. Effective June 5, 2017, Servicers must submit Flex Modification data for all Mortgages, regardless of the MTMLTV ratio, following the instructions in the Workout Prospectors User Guide. Servicers are encouraged to visit the Freddie Mac Learning Center for information on Workout Prospector training for the Flex Modification, which is coming soon. Page 2

16 REIMBURSEMENT Expenses for clear boarding broken windows We are updating our pre-foreclosure sale property preservation reimbursement requirements to reimburse Servicers for expenses associated with clear boarding broken windows, where needed and as required by local ordinances, on vacant and abandoned properties securing a Freddie Mac-owned or guaranteed Mortgage. These revisions support Freddie Mac s continued commitment to fight neighborhood blight. The clear boarding must be: Made of a polycarbonate material or one of at least the same strength At least 3/16 thick; and Properly installed The reimbursement limits for use of clear boarding are up to $2.25 per united inch, with a maximum amount of $2,000. The Freddie Mac Reimbursement System will be updated in the future to reflect a clear boarding expense code and the maximum reimbursement amount. Until the Reimbursement System is updated with the new expense code, Servicers must submit the following in the Reimbursement System to receive reimbursement for the costs associated with clear boarding: Expense code (Boarding (Broken Windows)) A request for pre-approval (RPA) via the RPA functionality for reimbursement of costs in excess of $900 We will notify Servicers in a future Bulletin when the Reimbursement System is updated to reflect these changes. Guide impacts: Exhibits 57 and 74 Unrecoverable expenses Effective for reimbursement claims submitted in the Reimbursement System on and after June 5, 2017 We are providing greater detail and clarity to our reimbursement request requirements for expenses (e.g., legal fees and/or legal costs) considered unrecoverable from the Borrower under applicable federal, State or local law upon reinstatement or payoff of the Mortgage, or upon completion of a mortgage modification. In accordance with Section (f), Freddie Mac will reimburse Servicers for certain unrecoverable expenses as set forth in Exhibit 74 on a Non-REO w/o GA claim submission type or a Loan Modification claim submission type (described further in Sections (a) and (e)), as applicable. For any other expense a Servicer believes to be unrecoverable from the Borrower under applicable federal, State or local law, the Servicer must obtain written pre-approval from Freddie Mac. The request must be submitted via the RPA functionality in the Reimbursement System to be reimbursed by Freddie Mac on a Non-REO w/o GA claim submission type or a Loan Modification claim submission type. Guide impacts: Sections , , through and and Exhibit 74 Attorney fees Effective for reimbursement claims submitted in the Reimbursement System on and after March 31, 2017 Uncontested foreclosures We are increasing the approved Servicer reimbursement amounts for attorney fees associated with uncontested foreclosures in all jurisdictions listed in Exhibit 57A. Guide impact: Exhibit 57A Page 3

17 Bankruptcy services We are increasing the approved Servicer reimbursement amounts for attorney fees associated with the following bankruptcy services (refer to Exhibit 57A for complete details): Bankruptcy attorney fee(s) Bankruptcy Chapters 7, 11, 12 and 13 Multiple Filing Litigation $600 Additional Hearings $250 Bankruptcy Chapters 11, 12 and 13 Objection to Plan (up to two hearings) $550 Agreed Order; Notice of Default/Stay Termination $100 Bankruptcy Chapter 13 Payment Change Notifications $100 Response to Final Cure Payment for Agreed Response $100 Guide impact: Exhibit 57A Mediation Maximum reimbursement amount We are increasing the approved Servicer reimbursement amounts for attorney fees associated with mediation when pre-foreclosure mediation is required by State or local law. In accordance with Section , Servicers must submit an RPA and receive prior written approval from Freddie Mac to receive reimbursement for the following: Mediation attorney fee(s) Maximum reimbursement amount Attendance and appearance at the initial mediation hearing or conference when Freddie Mac determines that applicable law requires participation in a pre-foreclosure mediation program Additional mediation hearings or conferences, if required $425 $300 per occurrence, for up to two additional mediation hearings or conferences As a reminder, in accordance with Section , Servicers must submit an RPA in order to receive prior written approval from Freddie Mac for reimbursement for mediation attorney fees and court costs, as well as fees charged by a mediation manager or coordinator for participation in a pre-foreclosure mediation program. Guide impact: Section Expedited foreclosures in New York Bulletin announced Servicer reimbursement of up to a maximum of $1,750 for claims submitted through the Reimbursement System for additional attorney fees associated with the New York Foreclosure Inquest Program, an alternative foreclosure process established to accelerate foreclosure actions in New York. We are updating Section to reference bulk trials and to provide that attorney fees associated with bulk trials in New York will also be reimbursed up to a maximum of $1,750 for claims submitted through the Reimbursement System. Guide impact: Section Page 4

18 CONDOMINIUM PROJECT AND PLANNED UNIT DEVELOPMENT (PUD) INSURANCE In response to Seller/Servicer feedback, we have evaluated and are revising our Condominium Project and PUD insurance requirements. Detached Condominium Project review type For Condominium Projects that are reviewed under the Detached Condominium Project review type, Seller/Servicers are no longer required to determine the existence or adequacy of: Fidelity or employee dishonesty insurance coverage Liability insurance for Condominium Projects Guide impacts: Sections and Common Elements of PUDs We are no longer requiring insurance on Common Elements of a PUD, when the insurable value of the PUD s Common Elements is minimal or does not exist. Guide impact: Section ADDITIONAL GUIDE UPDATES AND REMINDERS Subservicing Agreements We are clarifying Freddie Mac s rights, powers and prerogatives regarding the contractual right to service a Freddie Mac Mortgage. Specifically, we are providing additional explanation regarding Freddie Mac s rights to terminate or transfer Servicing without regard to any provisions set forth in a Subservicing Agreement. This includes any provision that purports to restrict Freddie Mac s rights including, without limitation, any purported rights of first offer, rights of first refusal, or other similar rights in favor of the Servicing Agent or any other third party with respect to, in whole or in part, the contractual rights to service the Mortgages subject to the Subservicing Agreement for Freddie Mac. Guide impact: Section Servicer Success Scorecard We have revised the definition for the Transition from 30 to 60+ Servicer Success Scorecard metric to reflect that Mortgages in foreclosure are included in the numerator. The calculation for this metric remains unchanged, and therefore this revision has no impact to a Servicer s rank in the Transition from 30 to 60+ metric nor overall ranking within their rank group in the default management category, as applicable. Training and reference documents, including the Freddie Mac Servicing Success Program Reference Guide, have been updated to reflect this revision. Reminder: Electronic Signatures will be required when signing Form 981, Agreement for Subsequent Transfer of Single-Family Mortgages As announced in Bulletin , effective April 3, 2017, if the Transferor and Transferee Servicer are both able to sign Form 981 with an Electronic Signature and transmit it as an Electronic Record, they may begin utilizing the new form and submit the form to Freddie Mac via at transferofservicing@freddiemac.com. Effective with Subsequent Transfer of Servicing requests submitted on and after June 1, 2017, both the Transferor and Transferee Servicer must sign the new Form 981 with Electronic Signatures and submit the form to Freddie Mac via at transferofservicing@freddiemac.com. When signing Form 981 with an Electronic Signature, the Transferor and Transferee Servicer must follow the Form 981 Electronic Signature Process. Page 5

19 GUIDE UPDATES SPREADSHEET For a detailed list of the Guide updates associated with this Bulletin and the topics with which they correspond, refer to the Bulletin (Servicing) Guide Updates Spreadsheet available at CONCLUSION If you have any questions about the changes announced in this Bulletin, please contact your Freddie Mac representative or call Customer Support at (800) FREDDIE. Sincerely, Yvette W. Gilmore Vice President Servicer Performance Management Page 6

20 TO: Freddie Mac Servicers May 10, SUBJECT: SERVICING UPDATES This Guide Bulletin announces updates in response to the Consumer Financial Protection Bureau s (CFPB) August 4, 2016 amendments to its 2013 Mortgage Servicing rules under the Real Estate Settlement Procedures Act and the Truth in Lending Act (collectively, the Mortgage Servicing final rule ). Additionally, we are updating Servicer requirements relating to follow-up communications with Borrowers nearing the completion of short-term unemployment forbearance plans. CFPB MORTGAGE SERVICING FINAL RULE Effective on and after October 19, 2017 In response to the CFPB s recent amendments to the Mortgage Servicing final rule, at the direction of the FHFA and jointly with Fannie Mae, we are updating Servicing requirements related to: Borrower communication The definition of First Complete Borrower Response Package Repayment plans Borrower communication Discontinuing contact with a Borrower prior to a foreclosure sale We are updating our requirements related to Servicers discontinuing contact with Borrowers prior to a foreclosure sale as follows: Current requirement Servicers must discontinue contact with a Borrower 60 days prior to a judicial foreclosure sale date or 30 days prior to a non-judicial foreclosure sale date. Revised requirement Servicers must discontinue contact with a Borrower 60 days prior to a judicial foreclosure sale date or 30 days prior to a non-judicial foreclosure sale date, unless the Servicer is required to continue contact attempts by applicable law. Guide impacts: Guide Sections , , and Acknowledging receipt of Borrower Response Packages Currently, within five Business Days of receiving the Borrower Response Package, Servicers are required to provide written notice to Borrowers acknowledging receipt of: A complete Borrower Response Package An incomplete Borrower Response Package, listing the information necessary for completion We are updating the Guide to require Servicers to additionally acknowledge to the Borrower that a previously incomplete Borrower Response Package has been completed within five Business Days of receiving the information necessary to complete the Borrower Response Package. Guide impact: Section

21 First Complete Borrower Response Package We are revising the definition of the Glossary term First Complete Borrower Response Package to acknowledge that any time a Mortgage Delinquency is cured, each subsequent delinquency event must be addressed independently. A Borrower s submission of an initial complete Borrower Response Package in connection with a new delinquency event is considered a First Complete Borrower Response Package. As such, the revised definition for First Complete Borrower Response Package is: The first complete Borrower Response Package received in connection with a Mortgage secured by a Primary Residence for any period of continuous Delinquency. Guide impact: Glossary A-I Repayment plans We are revising our requirements for repayment plans, as described in the table below: For all repayment plans In addition, if Then The monthly repayment plan payment amount must not exceed 150% of the contractual mortgage payment (including taxes and insurance if the Servicer is collecting Escrow for such expenses) The Borrower may make a payment that is applied prior to the Servicer s repayment plan evaluation (i.e., a Borrower may make a payment that may have a favorable impact to the repayment plan terms) The repayment plan must be in writing (refer to Section for complete requirements for the written notice) The Mortgage is less than or equal to 90 days delinquent; and The repayment plan term does not exceed six months in length The Mortgage is greater than 90 days delinquent; or The repayment plan term exceeds six months in length A Borrower Response Package is not required; however, Quality right party contact is required to verify that the Borrower has the financial capacity to bring the Mortgage current and cure the Delinquency as a result of the repayment plan A Borrower Response Package is required Repayment plan terms that exceed 12 months in length must be submitted to Freddie Mac for review and approval The Servicer must evaluate the Borrower for a streamlined offer for a Flex Modification if the Mortgage is greater than 90 days delinquent. However, if the Servicer has established quality right party contact and verified that the Borrower has the financial capacity to bring the Mortgage current and cure the Delinquency as a result of a repayment plan, then the Servicer must offer the Borrower a repayment plan. Guide impacts: Sections and Page 2

22 BORROWER CONTACT REQUIREMENTS FOLLOWING SHORT-TERM UNEMPLOYMENT FORBEARANCE Effective immediately We are updating Section to be consistent with similar requirements in Section The Servicer must conduct follow-up communications with a Borrower who is nearing the completion of a short-term unemployment forbearance plan or upon notification of re-employment, beginning the day after the Servicer sends the Borrower Solicitation Package to the Borrower. With this change, the follow-up communications must continue every fifth day in accordance with Freddie Mac s existing Borrower contact requirements in Section Guide impact: Section CONCLUSION If you have any questions about the changes announced in this Bulletin, please contact your Freddie Mac representative or call Customer Support at (800) FREDDIE. Sincerely, Yvette W. Gilmore Vice President Servicer Performance Management Page 3

23 TO: Freddie Mac Sellers May 17, SUBJECT: SELLING UPDATES This Guide Bulletin announces: Collateral representation and warranty relief Expansion of Mortgages eligible to be considered for collateral representation and warranty relief May 19, 2017 Proceeds from a no cash-out refinance Mortgage and reserves Updates to provide greater detail on our no cash-out refinance Mortgage reserves requirements Freddie Mac systems The rebranding of Quality Control Information Manager as Quality Control Advisor SM and the addition of Quality Control Advisor to the Freddie Mac Loan Advisor Suite June 26, 2017 Updates to our System-Specific License for Specifications to clarify additional roles and responsibilities relating to lender-to-consumer Specifications and consumer messages MultiLender Swap posting information and Guide Forms 15A and 15C Updates to MultiLender Swap posting information and Forms 15A and 15C to support the Single Security initiative July 31, 2017 Additional Guide updates and reminders Further updates and reminders as described in the Additional Guide Updates and Reminders section of this Bulletin EFFECTIVE DATE All of the changes announced in this Bulletin are effective immediately unless otherwise noted. COLLATERAL REPRESENTATION AND WARRANTY RELIEF Effective for Mortgages evaluated through the Selling System on and after May 19, 2017 Bulletin announced collateral representation and warranty relief for certain eligible Mortgages. We are expanding the Mortgages that are eligible to be considered for collateral representation and warranty relief to include: Cash-out refinance Mortgages and special purpose cash-out refinance Mortgages Texas Equity Section 50(a)(6) Mortgages Construction Conversion and Renovation Mortgages Mortgages that Freddie Mac and the Seller/Servicer have agreed are subject to credit enhancement other than primary mortgage insurance Loan Product Advisor and Selling System feedback messages will be updated by May 19, 2017 to reflect these changes. Guide impact: Guide Section

24 PROCEEDS FROM A NO CASH-OUT REFINANCE MORTGAGE AND RESERVES Section allows for proceeds of a no cash-out refinance to be disbursed as cash out to the Borrower (or any other payee) in an amount not to exceed 2% of the new refinance Mortgage or $2,000, whichever is less. To address Seller feedback, we are updating Section to specify that any cash back to the Borrower from the proceeds of a subject no cash-out refinance Mortgage is not an eligible source of funds to meet reserves requirements. Guide impact: Section SYSTEM UPDATES Quality Control Advisor Effective June 26, 2017 Quality Control Information Manager will be rebranded as Quality Control Advisor. Additionally, in response to Seller/Servicer feedback, Quality Control Information Manager will become part of the Freddie Mac Loan Advisor Suite. Quality Control Advisor, which enables Seller/Servicers to manage performing and non-performing Mortgages through the quality control process, will be accessible via single sign-on to the Loan Advisor Suite portal and will have a look and feel consistent with the other tools in the Suite. The functionality of the tool will not change. We are updating the Guide to reflect that Quality Control Advisor is a part of Loan Advisor Suite and to change references to Quality Control Information Manager to Quality Control Advisor. Guide impacts: Sections , and and Guide Exhibit 88 System-specific license for specifications Freddie Mac periodically provides Seller/Servicers with Specifications to aid in the development and maintenance of interfaces that interact with Freddie Mac systems. (See Section for a definition of Specifications and additional information.) Certain Specifications may permit Seller/Servicers to develop consumer messaging for their loan origination or other technology platforms. As a result, we are revising the System-Specific License for Specifications in Section to clarify additional roles and responsibilities relating to lender-to-consumer Specifications and consumer messages. Guide impact: Section MULTILENDER SWAP POSTING INFORMATION AND FORMS 15A AND 15C UPDATES Effective July 31, 2017 The Single Security is a joint initiative of Freddie Mac and Fannie Mae ( GSEs ), under the direction of the FHFA, to develop a single mortgage-backed security that will be issued by the GSEs to finance fixed-rate Mortgages backed by 1- to 4-unit single-family properties. In preparation for implementation of the Single Security, effective July 31, 2017, Freddie Mac will be updating the MultiLender Swap posting information to include the prefix for each MultiLender PC Pool and the renaming of existing MultiLender PC Pool information. In addition, effective for Guarantor and MultiLender Swap Contracts that reach Settlement Locked status on and after July 31, 2017, we are updating Forms 15A, Settlement Summary Fixed Rate Guarantor, and 15C, Settlement Summary Weighted Average Coupon ARM PC, to add the prefix. The Selling System will also be updated on July 31, 2017 to display the prefix on applicable screens for Guarantor and MultiLender Swap Contracts. Prior to the implementation of Single Security, the value in the new prefix field will be the equivalent to the first two characters of the existing pool number field. These minor changes are steps toward the implementation of Single Security and will help to mitigate risks associated with the transition by giving market participants adequate time to prepare for any system or process impacts. Page 2

25 Guide impacts: Section and Forms 15A and 15C ADDITIONAL GUIDE UPDATES AND REMINDERS Spanish/English versions of Forms 65 and 65A To help lenders better serve Spanish-language dominant Borrowers in becoming homeowners, we are making available, as Uniform Instruments, Freddie Mac Spanish/English versions of the following forms: Form 65, Uniform Residential Loan Application Form 65A, Statement of Assets and Liabilities The Spanish/English versions of these documents are executable and will be identified as Freddie Mac Form 65s and Form 65As, respectively. These versions will help Spanish-speaking consumers have a better understanding of the information required when applying for a Mortgage. The Freddie Mac Spanish/English versions of the forms are being added to the Guide and may also be found on the Uniform Instruments section of our website. We are also updating our Spanish Translation of Mortgage Documents web page to add a reference to these Spanish/English documents. Guide impacts: Section , Exhibits 4 and 5 and Forms 65s and 65As Certificate of incumbency As announced in Bulletin , we are updating Guide Forms 988SF-1, 988SF-2 and 989SF and the addenda to those forms, Forms 988ASF and 989ASF (collectively, the COI forms ), to make them applicable to Servicers as well as Sellers. The updated COI forms have been revised to identify employees authorized to provide Wire Transfer Instructions (as described in Section ) in connection with the sale of Mortgages to and/or the Servicing of Mortgages for Freddie Mac in Part (A) and Part (B), respectively. Seller/Servicers that have already submitted COI forms to authorize employees to provide Wire Transfer Instructions to Freddie Mac do not need to submit new COI forms at this time, unless they otherwise need to submit a new COI form or their renewal COI is due. Any Seller/Servicer COI renewal required on and after June 1, 2017 and/or any COI changes on and after June 1, 2017 must be submitted on the revised Seller/Servicer COI form(s) announced in Bulletin Form 1132, Authorization for Automatic Transfer of Funds through the Automated Clearing House (ACH) We have updated the instructions to Form 1132 to reflect the requirement for a Servicer s employees authorized to provide Wire Transfer Instructions solely in connection with the Servicing of Mortgages to provide ACH authorization and instructions for performing loans and nonperforming loans invoices. Effective January 1, 2018, Sellers must use the new version of Form 1132 for purposes of providing ACH authorization and instructions for Seller fee invoices or other invoice types. Condominium Project and Planned Unit Development (PUD) insurance Effective April 20, 2017 As announced in Bulletin , in response to Seller/Servicer feedback, we have evaluated and are revising our Condominium Project and (PUD) insurance requirements. Detached Condominium Project review type For Condominium Projects that are reviewed under the Detached Condominium Project review type, Seller/Servicers are no longer required to determine the existence or adequacy of: Fidelity or employee dishonesty insurance coverage Liability insurance for Condominium Projects Page 3

26 Common Elements of PUDs We are no longer requiring insurance on Common Elements of a PUD, when the insurable value of the PUD s Common Elements is minimal or does not exist. GUIDE UPDATES SPREADSHEET For a detailed list of the Guide updates associated with this Bulletin and the topics with which they correspond, refer to the Bulletin (Selling) Guide Updates Spreadsheet available at CONCLUSION If you have any questions about the changes announced in this Bulletin, please contact your Freddie Mac representative or call Customer Support at (800) FREDDIE. Sincerely, Christina K. Boyle Senior Vice President Single-Family Sales and Relationship Management Page 4