MCLEAN, Va., Sept. 3 /PRNewswire-FirstCall/ -- Freddie Mac (NYSE: FRE)
today reminded its servicers of the disaster relief options available to
borrowers with Freddie Mac-owned mortgages who were affected by Hurricane
Gustav. Freddie Mac is one of the nation's largest investors in residential
mortgages.
'Freddie Mac and the nation's mortgage servicers will work together to
bring some measure of financial relief to homeowners affected by Hurricane
Gustav' said Ingrid Beckles, vice president of servicing and asset management
at Freddie Mac. 'Borrowers affected by Hurricane Gustav should contact their
mortgage servicers for mortgage relief if their homes have been damaged or
destroyed.'
Servicers can offer relief under Freddie Mac guidelines to borrowers whose
homes were damaged or destroyed, as well as borrowers who may be unable to
make their mortgage payments because they were evacuated to avoid the storm.
Servicers should assess each case individually to determine if relief is
warranted and which option best fits the homeowner's circumstances.
In addition, Freddie Mac gives servicers the discretion to reduce or
suspend mortgage payments or foreclosure proceedings for up to 12 months for
borrowers with Freddie Mac-owned mortgages in federally declared
major-disaster areas where individual assistance was provided.
Freddie Mac also strongly encourages servicers to extend several other
measures to help affected borrowers with Freddie Mac-owned loans:
-- Waiving assessments of penalties or late fees against borrowers with
disaster-damaged homes; and,
-- Not reporting borrowers to the nation's credit bureaus when a
forbearance or repayment plan has been extended because of the disaster.
For more information on Freddie Mac disaster relief policies, see
freddiemac.com/singlefamily/relief.html .
Freddie Mac is a stockholder-owned corporation established by Congress in
1970 to provide liquidity, stability and affordability to the nation's
residential mortgage markets. Freddie Mac raises capital on Wall Street and
throughout the world's capital markets to finance mortgages for families
across America. Over the years, Freddie Mac has made home possible for one in
six homebuyers and more than five million renters.
SOURCE Freddie Mac
