Bank of America Hud Settlement

8/6/2019 Bank of America Hud Settlement

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SE'ITLEMENT AGREEMENTT his S ettle me nt A gre em en t (A gree men t) is m ade and entered into b etw een th e U nited

States D epartm ent of H ousing and U rban D evelopm ent (D epartm ent or H UD ) and Bank ofA merica. N A and B AC H om e L oans Serv icing , L P (co llectively, "B AC "), collectively referred to3S "the Parties",

W H ER EA S. this A greem ent shall not constitu te an adm ission of liability or fau lt on the panof either of the Parties.

N OW . TH ER EFO RE, the Parties agree as follow s:I , Th is Agreem ent shall becom e effective upon it s ex ecu tio n b y th e A ssista nt S ecre ta ry

for Housing or his duly authorized designee, The date upon which the Assistant Secretary or hisdu ly au th orized d esignee sig ns th is Agreement shall be referred to as the "Effective D ate"th ro ug ho ut th is A g re em e nt.

2. In an attempt to offer loss mitigation assistance to over Fifty-Seven Thousand(57,000) borrowers, who se lo an s ar e identif ied on Exhi bi t A ( he re in aft er , "Borrowers"). BACagrees to follow specific custom er outreach procedures as ou tlined in Exhibit B _ W ith in Thirty (30)days of the Effective D ate of this A greem ent, SA C w ill begin the process of attempting tocomm un ica te w ith B orro we rs by perform ing skip tracin g fo r tenant o ccu pied o r v acan t p ro pertiesand th ro ugh com mu nicatio n usin g o vern ig ht delivery services. co mm un ication via telepho ne usin gtra in ed asso ciates an d a d ed icated to ll-free te leph on e n um ber, and prop erty visits pursuant to 24C.P.R. * 203.604 u sin g a third-party vendor.

3. Provided BAC successfully makes contact with the Borrowers using the customero utr ea ch p ro ce du re s in E xh ib it B a nd r ec eiv es s uf fic ie nt fin an cia l information. and documentationfrom the Borrowers, BAC agrees to evaluate the Borrowers for certain loss mitigation alternatives


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according to H UD M ortgagee Letters 2000-05 and 200923. For those Borrow ers that w ouldquality fo r a partial claim o r an FHA ~HAM P m odification if th eir lo an s w ere less than t2 monthsd elinquent; B AC agrees to pay d ow n the B orrow ers' errearag es u ntil the loans are less than 12m onths delin qu en t, p ro vid ed th e B orro wers sign and retu rn all necessary do cu men tatio n tocom plete the loss m itigation option. B AC agrees to pay dow n B orrow ers' arrearages until theamount of to ta l funds expended reaches the am ount reflected in Paragraph 4 . infra. F or th os eB orrow ers th at w ould n ot be eligible for a forbearance p lan, a trad ition al m odification , a partialclaim, or an F HA -HAM P m od ifica tio n in acco rdance with th e terms of'fh is A greem ent SA Cagrees to offer and pay the B orrow ers $4,000 in transition expenses for each com pleted short salean d $7 ,5 00 in tran sitio n ex pen ses for each co mp leted d eed-in -lieu of foreclosure , pro vided theB orro wers qu alify fo r th e short s ale o r d ee d- in -lie u o f f or ec lo su re d is po sitio n lo ss m itig atio no ptio ns in a cc or da nc e with FHA gu id elin es .

4, BAC agrees to pay down arrearages to r those Bo rrow ers th at would qualify for apartial c la im or an FHA- HAMP mod if ic at io n if th eir lo an s w ere less than 12 m onths delinquen t. Ifthe to tal am ount of funds used to pay do wn arrearag es fo r the eligible B orrow ers is less th an T enM i llio n Do lla rs ($ t 0 ,0 00 .0 00 .0 0), BAC will p ay do wn all arrcarages an d rem it the d ifferencebetween th e t ot al a rr ea ra ges paid and Te n M illio n D olla rs ($ 101000,000.00) to HUD . If th e totalam ount of funds used to pay dow n arrearages for the eligib le B orrow ers exceeds T en M illionDolla rs ($ 10 ,0 00 ,0 00 ,0 0), B AC wilt pay dow n all arrearages and will not be obligated to rem it anyfunds to H UO . If it is necessary to remit funds to HUD , BAC will pay such funds by c ertifie d o rcashier's check m ade payable to the U .S . D epartm ent of H ousing and U rban D evelopm ent Thepaym ent m ust be sent to the attention of D ane M . N arode, Esq., H UD O ffice of General C 0 U l 1 S e l1 atth e fo llow in g a dd re ss:


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{(by Regular Mail451 Seventh Street, SWR oom B ~133 -P orta ls 200W a shington , D C 204 10

lfby Courier or E . : r : p r e s s Mail1250 Maryland Ave. SWP orta ls B uild in g, S uite 2 00W ashington, D C 2 0024(202) 708~2350 (phone)

5. The customer outreach procedures identified in Paragraph 2, supra, and Exhibit S,as w ell as the arrearage paym ents identified in Paragraph 3, supra. do not apply to Borrow ers w ho,prior to the E ffective D ate o f th is A greem ent: (i) h av e b ee n a pp ro ve d fo r and are performing undera loss m itigation plan or are under form al review (w ith notice to B orrow ers) for a loss mitigationplan; (li) h av e e ng ag ed a th ird ~p arty a dv oc ate fo r a ssis ta nc e in loss m itiga tion and are un der form alreview (with notice to B orrow ers) for a loss m itigation plan; (iii) a re e ng ag ed in a ctiv e b an kru ptc y.fo re clo su re m ed ia tio n. o r litig atio n; (iv ) h av e iss ue d re qu ests, in clu din g th ro ug h c ea se a nd d esistorders or other m eans availeble under federal and state law . that B AC cease contact w ith theB orrow ers for deb t co llection p urposes; or (v ) a rc under review by B AC for subm itting falseinfo rm ation o r engagin g in fraudulent ac ti vi ty r el at ed to th e o rig in atio n o r s erv ic in g o f th eir lo an s.

6. T o the exte nt that B orrow ers are n ot elig ib le fo r loss m itigation options, are

W ithin 9 0 days of the E ffective D ate of'th is A greem en t, ifth e c irc um sta nc es id en tifie d in ite ms (i)th rough (v) of th is paragraph are no longer applicable, B AC will a gre e to c on sid er th es e B orro we rsfo r tOS5 m itig atio n in a cc ord an ce with th e te rm s of t hi s Ag r eemen t.

unw illing to c ooperate in th e com pletio n of loss m itigation options, or do not respond to B AC 'sattempts to mak e c on ta ct w ithin a Th ir ty ( 30 )" da y period follow ing the date of the letter sent to theBorrow er as prov ided for in Exh ibit B , H UD acknow ledges and agrees that BA C shall p roceed w ithforeclosure actions a nd the filing of claim s fo r insurance benefits in a ccordance w ith F HA


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guidelines. 8A C m ay continue foreclosure proceedings w hile attem pting to contact the B orrow ersand/or w hile attem pting to enter into a loss m itigation action .

7 . BAC shall update HUD on a quarterly basis with th e re su lts o f its a tte m pts tocommunicate with mortg ag ors a nd its loss m itig atio n a ttem pts by providing a w ritten report to theD ep uty A ssistan t S ec retary fo r S in gle F am ily Housing. SAC , at its own e xp en se , will en gag e anin dep en den t th ird p arty to v erify th e co nten t o f the reports.

8. Upon faithful ex ecu ti on o f t hi s Ag r eement . HUD agrees to pay. a s ap plic ab le, allclaims to r insurance benefits in connection w ith the loans identified on E xhibit A and w aives,re le ase s, rem ise s, rem its , c omp rom is es a nd fo re ve r d is ch arg es p en din g o r p ote ntia l administ ra t ivea ctio ns u nd er 24 C.F.R. Parts 24,25,28, and 30.35 against BAC, its p rese nt o r fo rm erp re de ce ss ors , su cc ess or'S , p are nts , su bsid ia rie s, a ffilia te s, a ssig ns , o ffic ers , d ire cto rs , em plo ye es a ndagents in connection w ith servicing or loss m itigation deficiencies (excluding allegations ofimproper transfer of title) (such administrative actions shall collectively be referred to as"Administrat ive Cla ims" ) for the B orrow ers' loans identified in E xhibit A. T he P artie s ag ree that.except as set forth herein , th is A greem ent is in tended to be a complete sett lement by HUD of an yand all A dm inistrative C laim s, as that term i s d e fi ned sbovc, agai ns t BAC that m ay exist inc on ne ctio n w ith the B orrow ers' loans. E xcept as to the A dm inistrative C laim s, nothing in thisA gre em e nt re le as es any claim or cause of action of the U nited States of an y sor t wha tsoev er ,inc lud in g b ut no t lim ite d to , c laim s or c au ses o f action und er th e False Claims A ct (31 U.S.C. 3729 et seq.), the F ina ncia l Institu tio ns R eform , R ec ov ery an d E nforc em en t Act o f 1 98 9 (1 21 1,S .C . 1833a), or at com mon law . SAC expressly agrees that it will not assert a defense based upon thefact that HUD has paid or agreed to pay claims unde r this Agreement f or mo rtg ag e in su ra nc e,includ ing but no t lim ited to the d efen se of co lla tera l estoppel, in an action o th er th an one rela ting to


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lo ss m itiga tio n req uire men ts p ursu ant to th e C FR se ctio ns b elow . H ow ev er. n oth in g in this.Agr eeme nt p ro hib its BAC from introducing this A greem ent in evidence as a defense in any actionbrought by th e U nited S tates in c on ne ctio n w ith FHA 's lo ss m i tig atio n requirements pursuan t to 24C FR S ees. 2 03 .3 30 -.3 43 . 2 03 .5 01. 203.604~606, an d 203.614616 as i t r ela te s to th e B orr ow er s'lo an s id en tifie d in E xh ib it A. By paying m ortgage insu rance claim s to SA C, H UD does notconcede that the c la im s are va lid claim s fo r mo rtg ag e in su ra nc e p aym e nts .

9 . T he Parties ag ree that BAC will n ot s ee k extensions o f tim e o f th e re as on ab led il ig e nc e t ime fram e requ ired by 24 C .F .R . 203 .356 and M ortgagee L ette r 2005-30 . In casesw here B AC m ust reinitiate foreclosure , SA C shall identify the date the new foreclosure action w asin stitu te d a s th e fo re clo su re initiation date on th e m ortgage insurance claim (item 11 on fonn27 011. su bm itted electro nicalJy). T he Parties further agree that B AC will no t seek extensions oftim e of the foreclosure c omm e nc em e nt d ate re qu ire d by 24 C .F .R . 203 .355 . S AC understandsthat the additional amount of tim e that m ay be needed to comply w ith this Agreement m ay result ina curta ilm en t o f debenture in te re st o n m o rtg ag e in su ra nc e c la im s file d by B AC , as prov ided in 24C.F.R. 203.402.

10. The Parties agree that BAC w i 1 1 not file loss mi ti ga ti on i nc en ti ve chums providedfo r in M o rtg ag ee L ette rs 2 00 0-0 5, 2 00 2-1 7 , 2 00 3~ 19 ~ 2 00 5-1 B , 20 08-43 , a nd 20 09 -23 w ith re sp ectto any of the loans listed ' in A ppendix A . HUo further agrees to exclude the loans listed inA ppendix A from H UD servicer perform ance m em es, including but not lim ited to, tier rankingsc or es, se rv ic er p er fo rm an ce sc or ec ard s, and servicer wor k (Ju t ra te s.

II. It is further agreed th at w ith respect to any mortgage insurance claim , B A C wilt notc la im a ny e xp en se s fo r p ro pe rty p ro te ctio n a nd p re se rv atio n; re al p ro pe rty ta xe s, o r lie ns, re la tin gto the period of tim e betw een N ovem ber 1, 2010 and the E ffective D ate of th is A greem ent, as


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provided in 24 C .F .R . 203.402 (g)(2). N evertheless, S AC agrees that in the event of a m ortgagein su ra nc e c la im , it s ha ll c o nv e y the p ro p er ty u nd amag ed by fire , flo od , e arth qu ak e, to rn ad o,hurr icane, Or m ortg age e ne glec t, an d in com plianc e w ith H U D's p rotection a nd p reserva tio nguid elines as p rov ided in M o rtgag ee L etter 200 8-3 1 .

12 . SAC s h a n send three execu ted copies o f th is A greem en t to the U .s . D epartm en t o fH ousing and U rban D evelopm en t, attention D ane M . N arode, E sq ., a t the follow ing address:

u . s . D epartm ent of H ousing and U rban D eve lop me nt1250 M aryland A venue SWS uite 2 00Washington, DC 20024

13 . This A greem ent does not w aive any rights o r responsib ilities of HU D or any o ther

e x pl ic it ly w a iv ed 01' r ele a se d h e re in .F ed era l a ge nc y to in ve stig ate o r in itia te o th er a ctio ns p ursu an t to its la wfu l authority e xcep t as

14. This Agreeme nt is binding o n a nd in ures to t he bene fi t o fBAC~s predecessors,s uc c es so rs ! tr an sf er ee s, d ir ec to rs , managers, o ffic ers , em plo ye es , a ge nts , re pre se nta tiv es a ndassigns.

15. If BAC fails to materially com ply w ith th e term s of th is A greem ent, the D epartm entm ay take appropriate adm in istrative action against B AC pursuant to 24 C .F .R . Parts 25 or 30.

16 . This A greem ent m ay 110t b e a lt er ed , amended , o r mod if ie d , e x cep t by writing dulyex ecu ted b y authorized re pre se nta tiv es o f a ll P artie s.

17 . This A gree me nt co nstitu tes the co mp lete a gree me nt be tw een th e P arties, an dsu pe rse de s a nd replaces a ll p rio r n eg otia tio ns a nd a gre em en ts, w he th er w ritte n o r o ra l. re ga rd in gr es olu tio n o f th is ma tte r.


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18. Each of the Parties w arrants that it has been represen ted by, and has sought ando btain ed the advice of, in dep ende nt legal cou nsel w ith re gard to th e nature, pu rpose, and effec t ofth e Ag re emen t.

19 . This A greem ent is volunta ry and entered into by B AC afte r due consideration of theterm s co ntain ed h erein. B AC w in not seek. th e te rm in atio n o r re co ns id era tio n o f th is Ag re em e nt,d ire ctly o r in dire ctly , a fte rth e E ffe ctiv e D a te id en tifie d in Paragraph 1, supra , other than as m ay beset f or th h e re in .

20 . Each signatory rep resents and w arran ts that he, she or it h as the pow er, c onse nt, anda uth oriz atio n to e xe cu te th is A g re em e nt.

21. BAC hereby agrees to w aive, release, and rem it any and a n c la im s , d ir ec tly o ri nd ir ec tl y, ag a in s t HUn or any H UD em ployee w ith respec t to th e L o an s subject t o th is Ag re emen t.

22. Each side is to bear it s own costs and legal fees.23. This Agreement may be executed in counterparts, each ofwhich constitutes an

orig ina l an d all of w hich c onstitu te o ne an d the sam e ag reem ent.


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EX HIB .IT AThe attached disk contains the names, property addresses, FHA Case Nu....bers, aad BACLoan Numbers of the Borrowers.


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EXHlBIT BCustomer Outreach Procedures

B AC w ill eng age in the follo wing cu stom er o utreach pro ced ures , a s app lica ble , for the B orrow ersw hose loans are identified in Exhibit A .

A. Property Vacant or Tena.!!,tOtc:upie.dPropertiesBAC w ill engage in th e fo llo w in g c us tom er ou treach p ro cedu res for Borrowers where SACh as dete rm ined o r has rece ived in form ation to sug gest that the pro perty secu rin g th e m ortgag e lo anis v ac an t O r is o cc up ie d by a te na nt (h ere in af te r, B o rr ow e rs with Vacan t o r T en an t-O cc u pi ed

Properties).1. Skip Tracing: BAC will determine whether BAC has a c ur re nt m a ilin g

address or p ho ne c on ta ct in fo rm atio n fo r th e Borrowe rs w ith V ac an t o r T en an t-O cc up ie d Propert iesand, if ne cessary a nd w here a ppropriare, w ill d eve lop up dated ph one a nd or a ddress in form ation .An initial "up front" skip trace win be performed for loans where the curren t m ailing add ress o nfile is the sam e as the property address to iden tify a new , cu rrent add ress to prov ide to the fieldagent and to establish the add ress w here B AC will send correspondence . IfB AC is unab le toestablish a new mailing address through an "up front" skip trace, BAC w in as k it s field agent toco ndu ct a skip v isit to the prop erty , in Compl iance with fe de ra l a nd sta te fa ir d eb t c olle ctio n la ws.to dete rm i ne a new a dd re ss fo r th e B orro we r.If th e sk ip tra ce su cc es sfu lly re su lts in id en tific atio n o f th e B orro we r's c urre nt m a ilin g a dd re ss or. te lephone num ber, B AC will attem pt to m ake con tact w ith the B orrow er as described below . ForBorrowers with Vacan t P ro p er ti es . if th e skip tra ce d oe s n ot re su lt in id en tific atio n o fa B orro we r'Sc ur re nt m ai lin g a dd re ss o r phone number. BAC will p ro ce ed w ith a fo re clo su re action. ForB orro we rs w ith T enan t-O ccup ied P rop erties, if the skip tra ce doe s no t result in the id entific atio n o fthe B orrow er's current m ailing address or telephone num ber, B AC w ill attem pt to make contactw ith the B orrow er via letter as described below.

2. Communication attempt via Jetter: BAC will send a letter to the B orrow erswith V acant o r T enant-O ccupied P roperties to info rm them tha t they m ay qualify . fo r a Pre-fo rec losu re S ale o r D eed -in-L ieu o f F orec losure. T he le tter is in ten ded as a p rep aratory letter ah eado f a pro perty v isit to info rm and educate the Borrow er on w hat to expect, as w ell 8 . ' J to p rovide ano ppo rtun ity to sch edu le a spe cific tim e for a fie ld . agen t to visit the pro perty . T his Je tter will be sentu sin g a n o ve rn ig ht delivery se rv ic e, an d B orrowe rs with V acant or Tenant-O ccupied Properties w illb e In fo rm e d o f th e re qu ire m en ts to participate in a P re-forec losure S ale or D eed-in-L ieu ofF ore clo su re , a s wen how to reach .SAC to participate.Letters w iU be sent acco rding to the fo llow ing sce narios: (1 ) w here th e m ailing a nd propertyaddresses differ, B AC w iIl send a letter to the m ailing add ress only , (2 ) w here the property istenant-occupied and the mailing address is the same as the property ad dress. B AC wil1 moo] th eJetter via regular m ail in the hopes that th e Borrower has a f orw ar din g address, and (3 ) w here thepro perty is u noc cup ied , S AC will m ail the lette r v ia regu lar m ail in the hopes that the B on-ow er hasa f orw ar din g a dd re ss .


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3. Cooununication attempt via telephone~ For all cases in which BAC has theborrower's CUITen t te le ph on e n umb er. SAC will attempt to reach Borrowers with Vacant or Tenant-Occupied Properties by t elephone a min imum of three attempts per week over a Thirty (30}-dayperiod following the mailing attempt described above until contact has been established with theB orro we r eithe r v ia te lep hon e o r a p rop erty visit, whichever oc curs first. T he teleph on e attem pt isin tended as a preparatory ca ll ahead of a property visit to in fonn and educate the B orrow er on w hatto expect, as w ell as to provide an opportun ity to schedule a specific tim e fo r a field agent to vis itthe pro pe rty . T he call cam paigns wilt be c on du cte d b y a th ird -p arty ve ndo r w ith k no wle dg eab le,FHA-trained collections associates. If contact is m ade and the Bor rower confirms interest in lo ssm itig atio n, th e c olle ctio ns a ss oc ia te will schedule a time for a field a gen t to vis it the Borrower 'shom e to obtain a loss m itigation financial p ack ag e and all supporting do cum en tation required toperform an evaluation. If the Bo rr owe r in d ic a te s that he o r she w ou ld like to engage in lossm itig atio n bu t no t w ith a p rop erty v isit, the ve nd or w ill co nfe ren ce in a n F HA -trained c ollection sassociate employed by BAC to discuss loss mitigation options. The vendor will reach theseassociates through the use of a dedicated BAC toll-free number established s pe cif ic ally ln r thiscampaign. [f contact is not m ade and there is an opportunity to leave a voice m essage fur theBorrower, th e B o rrow er wilt b e in structed to co nta ct th e v en dor v ia th e sp ecia liz ed , de dic ate d to ll-free num ber. If the B orrow er does not respond to the voice m essage and the vendor is unable tocontact the B orrow er during the Thirty (30)-day pe rio d fo llo win g th e m a ilin g a tte mp t d es crib edabove, BAC will re su m e n orm a l c olle ctio n a ctiv itie s u p to and including foreclosure.

4 . P ro~ visit to m ailing address: IfBAC is able to iden tify and confirm th ep lac e o f re sid en ce for B orrow ers with Vacant o r T en an t-O cc up ie d P ro pe rtie s, B AC will em ploy athird party vendor that is a licensed deb t collec tor to visit th e property in an . attem pt to en gag e theBOlTOwer to participate in a fo re clo su re a vo id an ce so lu tio n. T he objectives ofthe visit will be to(I ) a ss is t th e Borrower in compl et ing requ ir ed f in an cia l fo rm s ; (2 ) o bta in v alid ate d fin an cia ld oc um enta tio n; (3) e nsure that the Borrower know s how to reach SAC ; and (4) providein fo rm a tio n re ga rd in g w hat is re quited o f the Borrower with respect to d oc um e nta tio n a nd tim in g.S AC also w ill establish a dedicated w ork team to. s up po rt th e o n- site v is its by th e v en do r, w hic hw ould include a dedicated team for p rocessing the docum ents received from the B orrow ers, as w ellas to a ssis t th e v en do r with any sc ena rio s o r B orrow er issu es no t previou sly identified.

B. Owner Oecupied or OecJlPancyUnknown P~p!rties

If. through engagement, the Borrower returns a full loss mitigation package to SAC, BAC willcentralize the docum en t in take p rocess to he lp con tro l and m anage the w orkflow and invento ryfrom this elevated effort. If a B orrow er returns apanial package. BAC w ill fo llow up w ith theB orro we r to o bta in th e re qu ire d d oc um e nt-C ).

BAC will engage in th e fo llo win g c us tom er o utre ac h p ro ce du re s fo r Borrowers where SAC hasd ete rm in ed o r h as re ceiv ed inform ation to sug ge st that the pro perty se curing th e m ortg age loa n isow ner occupied or SAC has been unable to determ ine the o cc upa ncy statu s o f the property( he re in a ft er , B o rr owe rs with OWn er O cc up ie d o r O cc up an cy Unknown Properties).

1. Communication attempt via let ter: BAC wil l send a letter to th e p ro pe rtyaddress o f the B orrow ers w itb O wner Occupied or Occupancy U nkn ow n P rop erties via anove rnigh t d elivery servic e in a n attempt to e ng age the B orrow er for lo ss m itigation . T he lette r is


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intended a s a p re para to ry le tter a he ad of'a property v isit to inform and educate the B orrow er onwhat to expect, as w ell as to p ro vid e a n o pp or tu nity to schedule a s pec if ic t ime for a fie ld agent tovisit the property. The letter will encourage the Borrower to engage with SAC in finding a solutionto avoid fo reclo su re and p ro vid e info rm atio n that co uld assist in av oid ing fo rec losure , includingoptions to retain the hom e or options to ex it th e h om e w ith relocatio n assistance. T he letter- a lsow ill request financial info rm ation from the B orrow er and include a check list o f docum ents theB orrow er is requ ired to subm it fo r a loss mitigation evaluat ion.

2 . C ommunication at teumt via te lephone: B AC will a ttem p t to re achB orrow ers w ith O wner O ccupied or O ccupancy U nknow n Properties by te lephone a m inim um ofth ree attem pts per w eek over a Thirty (30)-day period fo llo win g th e m ailin g atte mp t describedab ov e u ntil con tact has been established w ith th e B orrow er either v ia te lep ho ne or a p ro pe rty v isit,w hichever occurs first. T he telephone attem pt is in tended as a preparatory call ahead of a propertyvisit to in form and educate the B orrow er on w hat to expect, as w ell as to prov ide an opportun ity toschedu le a specific tim e for a fie ld agen t to v isit the property . The call cam paigns w ill beconducted by a third-party vendor with k no wle dg eab le, F HA -tra in ed c olle ctio ns a sso ciate s. Ifcon tact is m ade and the B orrow er confirm s interest in . lo ss m itig atio n, th e c olle ctio ns a ss oc ia te willschedu le a time fo r a fie ld agen t to v isit the Borrower 's home to o bta in a lo ss m itig atio n fin an cia lpackage and all supporting docum entation required to perfo rm an evaluation . If the B ozrow erindicates that he or she w ould like to en gag e in lo ss m itig atio n but not with a p ro perty v isit, th evendor will co nfe ren ce in a n F HA -tra in ed c olle ctio ns a sso ciate employed hy SA C to discuss lossm itigation op tions. The vendor w ill reach these associa tes th rough tho use of a dedicated B AC to ll-free num ber established specifically for th is cam paign . If contact ls not m ade and there is anopportuni ty to leave a voice m essage for the B QJ:1V wer.he B orrow er w ill be instructed to contactthe v en dor v ia th e sp ecia lized, ded icated to ll-free n um ber. If th e B orro wer does not respond to thevo ice m essage and the vendor is unabJe to contact the B orrow er during the Thirty (30)-day periodfo llo win g th e m ailing attem pt describ ed ab ove. BAC will resu me n orm al co llectio n activities u p toa nd in clu din g fo re clo su re .

3 . Prouerty visit to P !Qperty address: BA C w ill em ploy a third party vendor thatis a lic en se d d eb t c olle cto r to visit the property in aoattcm pt to e~gage the B orrow ers w ith O wnerO ccu pied o r O ccu pan cy U nk now n P ro perties to p articip ate in a fo re clo su re av oid an ce so lu tio n.The objectives of t he v is it wil l be to ( 1) a ss is t th e Borrower in c om ple tin g re qu ired fin an cia l fo rm s;(2) obtain validated financial docum entation ; (3 ) ensure that the B orrow er know s how to reachBA C; and (4) provide information regard ing w hat is requ ired of the B orrow er w ith respect todocumentat ion an d tim ing . B AC also w ill establish a ded icated w ork team to support the on-sitevisits by th e ven do r. w hich w ould includ e 8. d edicated team for pro cessin g the do cum en ts receivedfrom the Borrow ers, as w ell as to assist the vendor w ith any scenarios or B orrow er issues no tp r ev iou s ly i den ti fi ed .I f, t hrough engagement, th e B orro we r re tu rn s a : full loss m itigation p ack ag e to B AC , BAC willc en traliz e th e d oc um en t in ta ke process to help con tra] and m anage the w orkflow and inventoryfrom this elevated effort. If a B orrow er returns a partial package. BA C w ill follow up with theBorrower to o bta in th e re qu ire d d oc um en ts.


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C. Training snd ~upportBAC will develop and implement process-specific training and expectations for th e vendor andSAC staff that win be supporting these efforts.

Do S~ei9Jind Ton-Free Telephone NumberBAC will e sta blis h d ed ic ate d te ll-fre e te le ph on e n um b ers fo r th e Borrowers. The t hi rd -p a rt yv en do r th at w ill b e m an ag in g th e m ailin gs. h an dlin g in bo un d calls in resp on se to th e m ailin gs, a ndcond ucting outb oun d calls in su ppo rt o f th e m ailing s will h av e a d ed ic ate d to ll-fre e te le ph on enumber and staff to handle the calls to and from Borrowers (which would include those Borrowerswho wish to opt 004 those with questions, and those who want to set up a . specific time .and date fO Ttheir visit). Additionally, BAC will assign a dedicated toll-free telephone number to serve as a"hotline" fur both vendor and Borrower questions during th e field v is its . C alls re ce iv ed th ro ug hthis hotline win be fielded by a specific team of representatives trained to a nswe r questionsre ga rd in g FHA ~sp ec ific lo ss m itig atio n, th e d oc um en ts re qu ire d to e va lu ate a b orro we r fo r lo ssmitigation, o r d oc umen ts that may have already be en provid ed by the Borrower w ith in th e la stThirty (30) days.

Documents

Bank of America Hud Settlement