The MPF Program is actively monitoring reports about the potential impact of COVID-19 (coronavirus) on borrowers, PFIs and Servicers. We have communicated various investor updates and temporary policies via MPF Announcements and e-alerts to ensure our PFIs and Servicers receive the most up to date information and enable you to better assist borrowers impacted by COVID-19. This webpage will provide a summary of the most recent MPF Announcements and e-alerts that the MPF Program published in regards to COVID-19. The red text identifies the most recent changes.


MPF Traditional Loan: Impact of COVID-19 Originations

Effective Date: Immediately (unless otherwise noted)

In a continuing effort to monitoring the spread of COVID-19 and its concerns about its potential impact on borrowers, businesses, and loan originations, the MPF Program is issuing this guidance on originating and delivering MPF Program mortgage loans, which in some instances reminds PFIs of current or announced temporary policies, and in other instances creates new temporary policies. This guidance supersedes any conflicting current Guide provisions or recent COVID-19 announcements.

Changes since MPF Announcement 2020-27:

    • extended the application date for the temporary policies in place from May 17, 2020 to June 30, 2020.
    • incorporated a reminder that Colonial Savings will not purchase mortgage servicing for MPF Traditional loans in forbearance or on a forbearance plan.
  • NEW - Incorporated a reminder of the current policies for utilizing unemployment benefits as qualifying income and furloughed borrowers.

The following temporary policies are covered in this announcement.  New and updated policies are noted, other policies remain as originally issued:

MPF Traditional Loan: Impact of COVID-19 Originations

Delivery of Loans in Loss Mitigation Plan and Early Payment Default (EPD) (UPDATED)
Verbal Verification of Employment (UPDATED)
Verification of Self-Employment (UPDATED)
Continuity of Income (UPDATED)
Unemployment Benefits Qualifying as Income (NEW)
Furloughed Borrowers (NEW)
Age of Documentation (UPDATED)
Market-Based Assets (UPDATED)
Title Insurance (issued March 24, 2020)
Powers of Attorney (UPDATED)
Notes, Electronic Records, and Signatures (issued March 24, 2020)
Remote Online Notarization (UPDATED)
Appraisals (UPDATED)
Automatic Underwriting Systems (AUS) (Issued April 6, 2020)
Quality Control Requirements (issued April 6, 2020)
Business Continuity (issued March 24, 2020)
Seasoned Loans (issued March 24, 2020)
General Resources

MPF Traditional Loan: COVID-19 Related Servicing Guidance

Effective Date: Immediately (unless otherwise noted)

In order to help Servicers understand the available servicing related accommodations available for MPF Traditional (Conventional) loans affected by COVID-19 and understand their obligations when assisting such Borrower, the MPF Program is issuing this guidance which supersedes any conflicting current Guide provisions or recent COVID-19 announcements, including provisions related to late fees, capitalizing interest, etc…

Any Servicer who has finalized a Post-initial 90 day forbearance plan workout option that does not meet the requirements of this announcement should contact their MPF Bank immediately.

Changes since MPF Announcement 2020-26:

  • NEW - COVID-19 payment deferral plan option for MPF Traditional (Conventional) loans, enabling Servicers to assist eligible Borrowers who are nearing the end of a COVID-19 related forbearance plan and have resolved a temporary hardship, or for borrowers who have a confirmed but resolved COVID-19 financial hardship,and are prepared to resume their monthly contractual payments but cannot afford either a full reinstatement or repayment plan to bring the loan current.
  • UPDATED – Clarifications to waterfall described in “Post-initial 90 day forbearance plan” section.
  • UPDATED – The policy for property inspections and preservation activities for a property securing a mortgage loan where the Borrower is experiencing a hardship related to COVID-19.
  • UPDATED – Extended the suspension of foreclosure-related activities to June 30, 2020.
  • NEW – Suspending filings for motions for relief from the automatic stay in bankruptcy cases

To assist Borrowers who have experienced a hardship resulting from COVID-19 (for example, unemployment, reduction in regular work hours, or illness of a Borrower/Co-borrower or dependent family member) which has impacted their ability to make their monthly mortgage loan payment, the Servicer should evaluate the Borrower for a forbearance plan as provided for in this Announcement.

The Servicer must achieve quality right party contact (QRPC) with the Borrower prior to offering a forbearance plan. Servicers must obtain mortgage insurance company’s approval (if applicable) prior to granting any forbearance plan, and must obtain prior approval through the MPF Provider before granting relief that exceeds the guidance or timeframes provided for in this announcement.

Servicers under the Scheduled/Scheduled remittance option are expected to continue making monthly payments to the mortgage loans’ investor as required under Applicable Agreements.

MPF Traditional: COVID-19 Related Servicing Guidance

Taxes, Insurance, MI Payments and Other Advances
Initial 90 Day Forbearance Period
Post-initial 90 Day Forbearance Plan (UPDATED)
COVID-19 Payment Deferral Plan (NEW)
Workout Hierarchy (UPDATED)
Attempting to Establish QRPC
Late Fees (UPDATED)
Reporting a Reason for Delinquency Code
Property Inspections and Preservation (UPDATED)
Obtaining Valuations Associated with MI Termination Requests
Electronic Signatures
Credit Reporting (UPDATED)
Foreclosure Sales (UPDATED)
Bankruptcy Requirements (NEW)
Training (NEW)
General Resources


  • MPF Government loans and MPF Government MBS loans must follow relief policies and guidance issued by the applicable Government Agencies.
  • MPF Xtra loans must follow relief policies and guidance issued by Fannie Mae visiting Fannie Mae’s COVID-19 webpage. 
  • MPF Direct loans must follow relief policies and guidance issued by the product’s investor, Redwood Trust.

In addition, PFIs and Servicers are expected to abide by any/all federal or state laws or proclamations that may affect  borrowers or loans affected by COVID-19.