Ginnie Mae announced it will extend relief from the acceptable delinquency threshold from Dec. 31, 2020 through July 31, 2021.
In May 2020, Ginnie Mae first issued an order approving temporary relief from the acceptable delinquency rate threshold requirement identified in Ch. 18, Part 3, §§ C and D of the Mortgage-Backed Securities (MBS) Guide (the provisions) in response to the COVID-19 pandemic. The organization stated it would exclude any new issuer delinquencies, occurring on or after April 2020, when calculating delinquency ratios for the purposes of enforcing the provisions.
This relief will be applied automatically to issuers that were compliant with the delinquency rate thresholds as demonstrated by their April 2020 investor accounting report, based on March 2020 service data.
“Issuers do not need to change any aspect of their monthly report to benefit from this exclusion and must continue to report loans in forbearance as delinquent in accordance with established procedures,” the organization said in a release.