The servicer must contact Fannie Mae’s SF CPM division (see F-4-03, List of Contacts) within two business days after becoming aware that a borrower has filed for bankruptcy to ensure Fannie Mae is aware of the filing.
The following table describes when the servicer is responsible for selecting the law firm to handle a bankruptcy proceeding identified after a foreclosure sale and monitoring the law firm.
If the bankruptcy is filed… | Then the servicer… |
after the foreclosure sale, and after redemption expiration or confirmation/ratification completion | is not responsible for selecting and monitoring the law firm that will handle the post-foreclosure sale bankruptcy proceeding. |
after the foreclosure sale, but prior to redemption expiration or confirmation/ratification completion | is responsible for selecting and monitoring the law firm that will handle the post-foreclosure sale bankruptcy proceeding if notified to do so by Fannie Mae. |
prior to the foreclosure sale, but the servicer and/or Fannie Mae only become aware of the bankruptcy filing after the REOgram is submitted | is responsible for selecting and monitoring the law firm that will handle the post-foreclosure sale bankruptcy proceeding
|
Related Announcements
The following table provides references to Announcements that are related to this topic.
| Announcements | Issue Date |
|---|---|
July 13, 2016 | |
July 8, 2015 |
Additional Information: https://www.fanniemae.com/content/guide/servicing/e/2.3/07.html