T4 FANNIE_MAE High Confidence Guidance

Announcement SVC-2025-02 – Servicing Guide Update

Clarification of existing GSE servicing requirements for loan modification calculations

LOW

Impact Level

Top: Compliance (2)

Classification

Regulatory Program: GSE Servicing
Doc Type: Guidance
Effective Date: 2025-08-01
Days to Action: -349
Comment Deadline: —
Published: 2025-04-09

Urgency Basis

Effective date of August 1, 2025 is beyond 180 days from reference date of June 2, 2026. Document is historical guidance that has already taken effect.

Operational Context

Affected Functions

Compliance Operations

Institution Applicability

All

Impact by Category

Compliance

Operational

Data Governance

Model Risk

Reporting & Disclosure

Capital & Liquidity

Consumer Protection

Third-Party Risk

Key Requirements

- Calculate Fannie Mae Flex Modification terms based on interest-bearing UPB portion when borrowers have made principal curtailments - Use contractual P&I payment amount in remaining term calculations for modified loans - Update Rural Development claim inquiry contact information in servicing procedures - Implement principal curtailment calculation methodology by August 1, 2025

Scoring Rationale

This is a clarifying guidance document from Fannie Mae addressing calculation methodology for loan modifications when borrowers have made additional principal payments. The changes are primarily operational adjustments to existing processes rather than new regulatory obligations. The effective date has already passed relative to the reference date, making this a historical compliance requirement. Impact is limited to mortgage servicers dealing with GSE loans and involves straightforward process adjustments.

Scored: 2026-06-02T12:01:24.036Z Model: claude-sonnet-4-20250514 Confidence: High Aggregate Score: 1.5

AI Analysis Disclosure — This record, including its scores, impact assessments, and Advisory Assessment (impact, risk, and recommended actions), was generated by an AI model and may contain errors or omissions. The Advisory Assessment is a starting point for analysis, not a substitute for professional judgment. Effective dates, applicability determinations, impact assessments, and any recommended actions should be independently verified against primary regulatory source documents and reviewed by qualified compliance or legal personnel before taking compliance action. This output does not constitute legal or compliance advice.