Federal Mortgage LawsQuestion 82 of 400
A borrower becomes 45 days delinquent. Under Reg X's early intervention requirements, the servicer must generally:
a.Make good-faith efforts to establish live contact and provide information about loss mitigation options
b.Immediately begin foreclosure
c.Sell the loan to another servicer
d.File a Suspicious Activity Report
Explanation
Regulation X's early intervention rules require servicers to make good-faith efforts to establish live contact with delinquent borrowers by the 36th day of delinquency and to provide written information about available loss mitigation options by the 45th day. These rules are meant to help borrowers avoid foreclosure, not accelerate it.
Law Reference: Real Estate Settlement Procedures Act (Reg X servicing rules)Practice all 400 questions free — no signup required.
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